SkyWest to begin flights to Detroit; federal contract extended to 2019

Dickinson County emphasizes importance of Essential Air Service

IRON MOUNTAIN -- SkyWest Airlines, continuing as the main carrier at Ford Airport, will expand its schedule to include direct flights to Detroit beginning Friday.

The new schedule offers daily 10:30 a.m. flights to Minneapolis and 4:30 p.m. flights to Detroit, the county board was told Monday by Tim Howen, airport manager.

SkyWest, based in St. George, Utah, has served as the Essential Air Service carrier at the Dickinson County airport since December 2012. The Federal Aviation Administration has extended its EAS contract with the Delta Airlines-affiliated company through Jan. 31, 2019.

SkyWest is scheduled to receive an annual federal subsidy of up to $3,924,019 to provide 13 round trips a week -- seven to Minneapolis and six to Detroit. The former subsidy was up to $2,970,122 annually for 13 round trips a week to Minneapolis, six of which included stops in Rhinelander, Wis.

The airline will continue to use 50-seat Canadair Regional Jet 200 aircraft for all flights.

Traffic at Ford Airport has gone up under SkyWest, with the county qualifying every year since 2013 for $1 million in Airport Improvement Program funds by exceeding 10,000 annual passenger boardings. Airports topping that threshold are classified as primary airports by the Federal Aviation Administration. Dickinson County failed to meet the Airport Improvement Program criteria in 2012, but did qualify in 2011. Otherwise, it had been below 10,000 boardings since 1995.

The airport had 11,244 boardings in 2016, which includes charter and regional air ambulance flights. SkyWest's portion was 10,866 boardings, Howen noted.

EAS is a federal program that subsidizes airlines to serve rural communities. The U.S. Department of Transportation subsidizes commuter and certificated air carriers to serve approximately 60 communities in Alaska and 115 communities in the lower 48 contiguous states that otherwise would not receive any scheduled air service.

SkyWest's effective subsidy rate per passenger at Ford Airport is projected at $231, based on 17,000 annual passengers. The FAA is encouraging the county to work with the airline to maximize passenger levels to potentially reduce the subsidy.

Congress, meanwhile, might soon debate whether EAS survives.

A fiscal year 2017 budget plan adopted by the Republican Study Committee, a caucus that represents a majority of House Republicans, calls for eliminating EAS, according to published reports.

The program, however, is popular among rural lawmakers, including many Republicans. Payments to air carriers were funded at a total of $175 million in 2016, according to the DOT.

County Controller Brian Bousley has sent letters to Michigan's senators emphasizing the importance of the program.

"If we lose that, we lose a lot," County Commissioner Joe Stevens said at Monday's county board meeting.

SkyWest's proposal for Ford Airport was part of an EAS package that includes Rhinelander as well as Brainerd and International Falls in Minnesota. Under the new contract, Rhinelander will receive 14 round trips a week to Minneapolis, with a subsidy of slightly more than $1.7 million. International Falls will be subsidized at nearly $3.3 million for 12 round trips to Minneapolis and Brainerd at nearly $1.7 million, also for 12 round trips to Minneapolis.

Air Choice One of St. Louis, Mo., submitted EAS service proposals to the FAA for Ford Airport and International Falls that required subsidy levels that were significantly higher than SkyWest's.

Last fall, the county board strongly endorsed SkyWest, citing good service and reliable on-time performance.

SkyWest operates nearly 1,800 flights each day to 208 destinations throughout North America.

Jim Anderson can be reached at 774-2772, ext. 26, or janderson@ironmountaindailynews.com.