January 07, 2007

Palmdale Airport

Palmdale is like to LAX as ORH is to Boston.


DAILY BREEZE

Two major airlines are vying to add Palmdale to their flight schedules, a change in fortune for the little airport there and an important step toward dispersing air traffic away from Los Angeles International Airport. Delta and United airlines submitted proposals late Friday for new air service from Palmdale, most likely to one of their West Coast hubs. Airport officials plan to unseal the proposals next week and could not comment on the details Friday evening. Delta operates a hub in Salt Lake City, and United has hubs in San Francisco and Denver.

Palmdale has some powerful backers in its corner, and they dangled more than $4 million in cash and benefits to entice airlines to take a gamble there. They required nothing less in return than 50-seat regional jets flying twice a day from Palmdale's airport to a larger city. An evaluation committee will begin going through the two proposals next week and should make its selection by February, said Paul Haney, deputy executive director of airports and security for Los Angeles World Airports. The agency operates both LAX and the Palmdale airport.

If all goes as planned, Palmdale could have major air service for the first time in years in time for the summer travel season......


But the airport's supporters, organized as the "Wheels Up Palmdale" coalition, still see great promise there -- especially with the breakneck growth of the surrounding Antelope Valley. They have $4.6 million saying Palmdale's airport can support regular air service. The money will help shield whichever airline moves into Palmdale from taking a loss on the deal for up to three years. It also will cover the rent and pay for a free blitz of advertising and marketing.

The airport even has a new name, to help market it to travelers who might not otherwise see it on the map: LA/Palmdale Regional

6 comments:

Anonymous said...

If all LAX's are Logans and all Palmdales are ORH's, then are all ORH's Palmdales?

1. Are 2 airlines vying for slots at ORH. No.

2. HAs ORH released an RFP soliciting airlines with subsidy incentives available? NO.

3. Does ORH have powerful backers in its corner. No.

4. Will ORH dangle $4M in cash and bennies to lure commm air service? No, b/c comm air carriers are not non profit theatres.

5. Does ORH Have its new name yet? No. BTW, what is holding this up?

6. Can ORH make a decision within 1 month re: awarding an RFP? Assuming ORH has 4 1/2 acre bidders, probably not.

7. Will MP want to disperse traffic away Logan? NO, as Logan has excess runway capacity and has been losing flights over the last 10 years.

8. Will ORH settle for 50 passenger jets? Yes, do we have a choice?

Bill Randell said...

Jahn:

$4 million in cash in somewhat deceptive.... Airports count waived fees towards that $4 million dollars. In other words they waive landing fee, rents etc. Thire is typically not alot of actual cash... Although the City of Worcester did have $455,00 oc cash from the DOT grant. ORH could have easily put together a $2,000,000 package with the $455,00o of cash from the DOT and other waived expenses.

Instead we spent our cash on consultants (IMG). My point in this blog was to show how other airports are doing it right..

Anonymous said...

Does Palmdale face any competition? All I can think of is ONT and LGB. We have to compete with BDL, MHT, PVD, and most importantly, BOS. Also, the two carriers the RFP'd Palmdale were legacy airlines. The last legacy airline at ORH, to my knowledge, was Delta, and they pulled out in the '80's (I think).
Anyway lets focus on the LCC's for now and worry about the legacies later.

Bill Randell said...

Palmdale is in a very similar situation with LAX as ORH is with BOS.

Anonymous said...

Has anyone reading/posting seen the documentary One Six Right? It's about GA and how a California airport survived rough times. I've requested that the WPL buy it. It may have some nuggets of wisdom for us.

Anonymous said...

Oh, yes I know. I wasn't trying to correct you or anything. What I was really trying to say is look at Palmdale as an example. You can say that with SWF, GYY, RFD and maybe even YNG. If we can follow what they're doing, we would have the same type of future as those airports. I just wish we could wake up.