HomeMy WebLinkAbout07/09/2013 02 Four Point Yakima Air Service Development PlanBUSINESS OF THE CITY COUNCIL
YAKIMA, WASHINGTON
AGENDA STATEMENT
Item No.
For Meeting of: 7/9/2013
ITEM TITLE: Four Point Yakima Air Service Development Plan --
Presentation by Airplanners
SUBMITTED BY: Sean Hawkins, Economic Development Manager
SUMMARY EXPLANATION:
The City of Yakima is undertaking four elements to improve the Yakima Air Terminal's
commercial flight market performance. The City is working in close association with our
consultants, Airplanners, to achieve this goal. The first priority is to increase the overall load
factors for the three daily Alaska Airlines flights between YKM and SEA. The next priority is
develop additional air service options which could include a new YKM to SEA option, a YKM to
PDX option or a direct flight to the Las Vegas area on another airline.
Resolution:
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Impact:
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Insurance Required? No
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APPROVED FOR
SUBMITTAL:
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City Manager
ATTACHMENTS:
Name: Description:
F-I Memorandum - Airport Action Plan June 18 2013.docx Airport Action Plan memo
Memorandum
To: City Manager and Yakima City Council
From: Sean Hawkins, Economic Development Manager
Date: July 1, 2013
Subject: Three Point Air Service Marketing Action Plan
The City of Yakima is working with our consultants, Airplanners, to develop a three point
approach to increasing two pieces of our local air service. The first piece is the overall load
factors for the three daily Alaska airlines service between YKM and SEA. The second is the
development of a fourth daily Alaska flight to SEA or PDX to local travelers more flying options.
This memo high lights our three key approaches:
Alaska Airlines Position
Alaska's VP of Marketing has expressed cooperation in coordinating a marketing program within
Yakima County and an inbound visitor campaign to the region. Alaska has agreed to perform
the role of an ad agency and production firm at no cost to the City of Yakima. They will also
offer special fares during certain periods, passenger data and insight on how the marketing
program is effecting load factors. The City of Yakima will have the final review of ad messages.
Alaska is thrilled that the Yakima community is willing to pursue a partnership through a
marketing campaign to insure better load factors and in turn improved service.
Apply for Small Community Air Service Development Program (SCASDP)
The City is working with Airplanners to apply for a $400,000 SCASDP grant. The grant
application is due July 26th. SCASDP grants require a 20% match of local non - airport funds and
the grant funds can be used over the course of three years. Funding can be used to help
expand additional flights by Alaska Airlines to the SEA or PDX market, consultant services,
marketing programs, lower fares or revenue guarantees. If awarded, the City of Yakima expects
to use the majority of the award to develop a two year Yakima County based marketing program
to increase the overall load factors for YKM to SEA service and aid in the expansion of a fourth
daily flight from YKM to SEA or YKM to PDX.
There is no minimum or maximum award for the SCASDP. However, in the past five years,
three Washington cities have been awarded funds. Port Angeles was awarded $360,000 in
2009, Spokane was awarded $950,000 in 2011 and Walla Walla was awarded $250,000 in
2012.
FLY YKM Air Alliance
The City of Yakima will work with the private sector business community to create the FLY YKM
Air Alliance. The Alliance will be charged with one single task — promote Yakima's air service to
Yakima County residents. The FLY YKM Air Alliance will apply for 501c6 status with the IRS
and will be composed of members of the regional business and civic community. FLY YKM will
raise money on an annual basis to support air service in Yakima and work closely with Alaska
on win -win situation for both parties.