Airport commission pledges $250,000 toward San Francisco flights

By Jo Rafferty, Staff Writer
Tuesday, March 25, 2008 | 39 comment(s)

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NORTH BEND — Coos County Airport District commissioners have paved the way for flights to San Francisco from North Bend.

Commissioners unanimously agreed at an emergency meeting this morning to add $250,000 to a $400,000 pledge to Sky West Airlines to convince the airline to provide service at Southwest Oregon Regional Airport.

The $650,000 would offset concerns the company has expressed over rising fuel costs, Airport Executive Director Gary LeTellier said.

“It just made enough of a difference in the margin,” LeTellier said.

He said he expects to hear from Sky West’s president, Russell "Chip" Childs, by late this afternoon, and hopes to make an announcement that they will provide flights by Wednesday afternoon.

He said he won’t know for sure when service to San Francisco will begin, or the flight schedule, until after a draft contract is signed.

Late Friday afternoon, LeTellier said he received a phone call from Childs about a deal that has been in negotiations for months to provide service to San Francisco in a partnership with Klamath Falls International Airport.

“The president said, ‘We’ll go with Klamath, but we’ll not include North Bend,” LeTellier said. “They were going to go ahead with Klamath without us.”

Sky West had estimated that Klamath Falls is closer enough to San Francisco to make the Southern Oregon city more profitable, according to LeTellier.

LeTellier called Airport District Chairman Mike Lehman and other commissioners over the weekend, to come up with a plan to help guarantee the airline’s interest in the airport.

Part of the plan is that the airline will calculate profits and losses on a month-to-month basis, with the $650,000 as a maximum backup, to be paid in monthly increments if there is no profit in a specific month. At the end of the year, any overpayments would be returned to the district.

“This $250,000 — is it a guarantee on seats? Is it a guarantee on fuel?” Commissioner Joe Benetti asked LeTellier.

“It’s a guarantee they break even,” LeTellier said.

The additional funds would be covered by pledges from local businesses, he added.

The original $400,000 was already covered through a Federal Aviation Administration grant.

“We ran the risk that they’ll pass us by here,” LeTellier said. “This is a chance for us to open this new market.”

Commissioner Helen Brunell Mineau acknowledged that the winter months could be lean, with not many passengers heading to Bandon Dunes Golf Resort.

But commissioners unanimously agreed that pledging the money is worth the risk.

Commissioner John Briggs said he wanted to add one comment: “To the people who say they want it, I hope they use this service even if it’s $30 more for the ticket (than at another airport),” he said.

Lehman asked LeTellier what happens if travelers don’t use the service.

“In a year, if they don’t (use it), it will turn into a pumpkin and go away,” LeTellier said.
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 wrote on Apr 24, 2008 5:31 PM:

I would have taken direct flights to Seattle, but never heard they had any. Someone here said they did this past year, well I called the 1-800 number for Horizon last Summer and they said there were no direct flights from here to Seattle. You can't take the flights if you don't know they exist and even the airlines don't know they exist. I for one would use a direct flight quite often.

L.D. T. wrote on Apr 24, 2008 12:57 PM:

AS NORTH BENDS NEWEST[RETIRED] RESIDENT - I WOULD SUGGEST YOU GET YOUR RAILWAY BACK IN OPERATION FAR and ABOVE ANY OTHER CONCIDERATIONS

AG wrote on Apr 24, 2008 8:43 AM:

Some people are saying that they would rather have flights direct to Seattle? Guess what, we had them! Horizon opened up that market to us this past year, and we didn't have enough interest to fill the flights, so they went away. Let's try a south destination, ANY new tourism it might bring will be good. Plus, it's only one hop from the San Francisco airport to many destinations in Mexico: Vacation anyone?

coosBayLover wrote on Apr 23, 2008 3:53 PM:

I only HOPE that the cost to fly back and forth from SF isn't cost prohibitive. If it is more than $250 round trip..I am not sure if people will use it; as it is ONLY a 1.5 hour flight.

NB2Ashland wrote on Apr 20, 2008 5:08 PM:

Whatever you guys can do to get the tourists to come, will ultimately help you all. The hand that feeds you no longer holds a chainsaw or a salmon jig; it holds airline tickets and hotel reservations..tourists aren't THAT bad..we in Ashland make a pretty darned good living off of them..and with enough ketchup you can get eat anything :-)


CoosBayLover wrote on Apr 18, 2008 1:13 PM:

My husband and cannot wait for direct service from SF to North Bend! We LOVE CoosBay, but hate the drive from SF. We would frequent CoosBay ALOT more with direct flights. Can't wait!

OMG wrote on Apr 18, 2008 10:20 AM:

are you people serious? this is a GOOD thing. Anytime we expand our "horizons" , (no pun intended) we should all be proud we are connecting with the real world. Coos Bay is not an island...although with the loss of the railraod, the price of gas and the IGNORANCE of some of its citizens, I could be proved wrong!!!

Dumb Question wrote on Apr 17, 2008 5:05 PM:

Didn't Sky West Airlines declare bankruptcy two weeks ago and cease all operations? I understand that United Express is actually flying the routes; however, if Sky West did fold, where did the money go?

"HAPPY" wrote on Apr 17, 2008 4:00 PM:

WELL I FOR ONE AM HAPPY THAT AT LEAST ONE BUSINESS IS GOING TO DO EVEN BETTER WITH THE SOUTHBOUND AIRPLANE, THAT BEING THE BANDON DUNES GOLF COURSE....
BOY THAT IS MAKING US ALL RICH, RIGHT????? And just making our economy go up up and away.
ME SO HAPPY

mark wrote on Apr 17, 2008 2:55 PM:

Flights south are a good thing. Maybe if the bay area becomes less isolated people will not be so ignorant about the real world.

NB Resident wrote on Apr 17, 2008 2:35 PM:

It's one thing to suggest something to the NB Airport people (Like another location to look at for future expansion), but to complain like spoiled little brats is another (Talking about non-existing tax increases to trashing the new San Fran location)! Be thankful they are trying to help the area, unlike the rest of our state leaders doing NOTHING!!!

Common Sense wrote on Apr 17, 2008 12:01 PM:

Well Common Cents, doesn't make sense to what my prior comment said QUOTE:

"This area needs to expand any way it can to SUCCEED economically...be it SF or any other place the airport expands to..."

Bottonline: There should be ZERO complaints on what NB Airport is trying to do for this area...PERIOD!



common CENTS wrote on Apr 17, 2008 11:13 AM:

Why is it ignorant to want to fly NORTH instead of South to crazy California. If you are handicapped in any way it is not easy getting around California airports.
I find it much easier in Seattle. and the straight flight without changing planes in Portland would be really a help to handicapped people. And if you leave out the golfers, there really is more people from here going North from what I know......

Common Sense wrote on Apr 17, 2008 8:04 AM:

To Local & the rest of the ignorants of good basic economics here...


This area needs to expand any way it can to SUCCEED economically...be it SF or any other place the airport expands to...

local wrote on Apr 16, 2008 7:13 PM:

I agree with Going North. I won't be using any planes to San Fran. I've heard of all of their delays due to fog. I'm a frequent flyer on Horizon/Alaska and plan on staying that way. I don't think the flights south will last long. I'm not that excited about potential tourists from that area either.

going north wrote on Apr 16, 2008 8:41 AM:

I for one would like some straight flights to Seattle, without changing planes in Portland.
When flying out of Seattle to anyplace I want to go is much easier than out of california airports.
And all the people going to Alaska, it would be much nicer to get a direct flight to Seattle and then on to Alaska, without changing in Portland.
I hate California airports, to hard to get around. Give me Seattle any day.

former coosbaynian wrote on Apr 15, 2008 12:49 PM:

I am astonished at how bitter most of the people's comments on here are. So many paranoid mindsets thinking "they are going to raise your taxes only to benefit the rich." Maybe some of you people could learn a thing or two about economics. Bringing in flights from a major city like San Francisco will be a very positive thing for the Bay Area. Potential tourists who would otherwise overlook this area because of lack of easy access will now see it is the only place on the beautiful Oregon coast you can fly into. Maybe a way to make them spend more money in the area would be to clean it up...start business catering to them, not just Home Depot, WalMart or some other crap big box retailer. If all I saw after landing in NB was ugly Virginia Ave I wouldn't want to spend any money or time there either. The Bay area needs a lot of work but it can be done if the citizens learn something about progress and stop complaining about taxes or "rich golfers."

Not a golfer, But wrote on Apr 15, 2008 11:10 AM:

I do fly out of North Bend at least once a month, and Horizon is a pain. I look forward to flying south to catch direct flights elsewhere. I am far from the "elite few" - I work.
The majority of the bloggers above must not get out much (or away from their computers). I see the golfers (and their wives) at restaurants in Charleston and Bandon, they have taken Dunes tours, rented cars. True, you won't see them shopping at PVM or Wal-Mart, so North Bend and Coos Bay need to come up with a few more spots of interest to gather the golfers green. But there are more of us than you think - flying out of North Bend.

Jane wrote on Apr 15, 2008 8:55 AM:

Glad for the extra flights & money, because Tourism is the future for this state! More flights mean more people visiting the area to spend more $$$ to our local businesses...

glad! wrote on Apr 15, 2008 2:17 AM:

I can't wait for the new flight to start! Hooray for the Airport Commissioners.

amazed wrote on Apr 15, 2008 1:40 AM:

wow, has it really come to this that all the blogs are used for is complaining? Wake up people. This is a good thing. We live in one of the most beautiful spots around, providing access for people to visit, relocate or invest is a positive in my book. I'll absolutely utilize that flight.

I must admit I'll miss the luxury of having free parking, but come on, its not that hard to catch a ride from a friend or family member. Its not as if you're asking them to drive you to Eugene.

NB forever wrote on Mar 26, 2008 11:08 AM:

I do wish we didn't have to mention Bandon Dunes because like someone else said, The bandon Golfers do not spend any money here. I for one would like to use the flight south and I have nothing to do with the low paying Bandon Dunes gold course.

Former Resident wrote on Mar 26, 2008 9:01 AM:

I now live in the SF Bay Area. I grew up in Coos Bay. I talk to many potential tourists that would love to visit the south coast (not just for golf) and they often comment about how difficult it is to fly into the area. I, too, will use the service as my family still lives in the area. This will be a terrific benefit. As for those that think the Bandon Dunes golfers don't spend money in CB/NB, think again. The people that work in the resort DO spend money in the area...If there there are no golfers, there will be no jobs at the resort. Read basic economics about how money circulates several times over...

tony wrote on Mar 25, 2008 10:41 PM:

Taking the $650,000 figure and dividing by 365 days a year is a $1780.00 DAILY SUBSIDY. . .We should hire airline's Exec Childs to replace NoTellier. Seems a much better businessman. . . .

Coasty wrote on Mar 25, 2008 5:33 PM:

While it may be true that Bandon Dunes helped get our area more recognition or "one the map" so to speak,, the purks of that have been short lived. From where I sit, that "map" that you talk about sure has a lot of for sale signs, going out of business signs and other "signs" of a very very distressed area....

Janice wrote on Mar 25, 2008 4:59 PM:

A very interesting read by David Cay Johnston, in the New York Times regarding the TAX SUBSIDIES of the Bandon Dunes Golf Resort:

http://www.nytimes.com/2007/06/15/business/15subsidy.html?pagewanted=print

Chris wrote on Mar 25, 2008 4:53 PM:

We need flights south to help this community. This will only help the larger businesses in this town. As well as the golf resort. Bandon Dunes has put the South Coast on the map whether you want to admit it or not.

Thomas wrote on Mar 25, 2008 4:45 PM:

"How do you not know that this money was put up by taxpayer dollars."

Because that is what the airport special taxing district does ........ simple stuff really.



Coasty wrote on Mar 25, 2008 4:40 PM:

Chris: even if (and that is a really big if) the taxpayers aren't footing the bill, to make comments that they hope people will pay the $30 extra, or if it isn't used by travelers within the year it will go away (gee, no guilt trips here), tells me that they are relying on a lot of locals to foots the bill one way or the other in order to keep it...so I think my facts are pretty clear. The locals will pay for it one way or the other....

Local Flyer wrote on Mar 25, 2008 4:11 PM:

Thank you Coos County Airport District commissioners for making this sound decision to save this added service to our community. At a time that businesses are re-evaluating their growth and margins (remember the HD pull-out?) I for one, welcome another carrier out of North Bend. Anyone who flies south knows the frustration of flying over your home, connecting in Portland and turning back and flying to North Bend. My family and I WILL take advantage of this service (both business & personal) and appreicate the forward thinking of the commissioners to get this done. It doesn't just affect the "Bandon Dune Golfers".

cb wrote on Mar 25, 2008 4:10 PM:

Where else will the money come from, it can only be taxpayer money, it always is. And even grants, is taxpayer money. Just where do you think the money would come from, THE COMMISSIONERS OWN POCKETS. HA HA HA

cb wrote on Mar 25, 2008 4:01 PM:

Right, The RICH golfers don't spend any money in either CB or NB, unless they go to the casino and play a few hands of 21, that would be the extent of their spending money in town.
I do not feel we should subsidise their airplanes.
We do not need flights South at this expense.

Chris wrote on Mar 25, 2008 3:56 PM:

How do you not know that this money was put up by taxpayer dollars. Get the facts before you jump to conclusions.

Coasty wrote on Mar 25, 2008 3:32 PM:

The saddest part of all of this is that not one dime of these golfers money will be spent in North Bend. They fly in, take a shuttle/taxi to Bandon and stay and spend money there. So why in the world should NB taxpayers pay more money when we're trying to make ends meet just so that it is more convinient for the wealthy golfers....that is absolutley amazing. We need more industry here that creates jobs for locals to live and stay in the area, not find ways to make travel easier for travelers. Too bad some of that money couldn't be spread around to other locals businesses that are dangerously close to going under....makes ya think doesn't it?

Frustrated wrote on Mar 25, 2008 3:26 PM:

Why don't they take that money and figure out a way to run a shuttle just for golfers....everytime I try and get a plane ticket out of here for my family of four the seats become so limited that the price just keep going up and the travel agency and/or airline says its because they flights are full, mostly of golfers. If they can afford to fly here to play golf at Bandon, they sure have more money that I do....so the comment that we should be willing to pay $30 more for a ticket rather than using another airport tells me he's out of touch....we pay WAYYYY more than $30 as the flight fills up....most of the time its cheaper to drive to Eugene or Portland than to pay the inflated prices to get out of NB even with the gas prices higher and how frustrating is that for us locals to have to move over for the "rich" golfers!!!! Unbelievable!!!

NB taxpayer wrote on Mar 25, 2008 2:43 PM:

Where in the world do they think tax payers are going to be able to pay more when gas, food and everyday expenses are bringing most people to the brink....then to make the comment that if travelers don't use it within a year it will turn into a pumpkin and go away....most people I know that usually travel, aren't going to be able to travel this year anyway due to not being able to afford it (both by plane or car)....the timing of this is really lousy and I say if the golfers can afford to fly here, play Bandon and aren't worry about the cost, then they definately have more money than most of us, then Bandon Dunes can pony up the money. I'm a local and I can't afford to play Bandon!!

Concerned citizen wrote on Mar 25, 2008 12:50 PM:

We don't have enough money for police or sheriff patrols to help our Coos County citizens, but we have money to help the airline bring in golfers from the SOUTH ! wow ! ! !

NB Native wrote on Mar 25, 2008 12:46 PM:

Oh my Gosh, I can't believe this, we are paying $250,000 for WHAT ? ? ? For helping a few golfers come in from the SOUTH, going to a Golf Course worth millions of dollars, to play expensive golf games. As Helen Mineau said the winter months will be lean with no golfers coming in, well, it is nice to know they are the only people in our area that count. Let Bandon Dunes pay the $250,000 to get an airline coming in here to go South. They are the only ones making money on the deal.
I would like to fly to Seattle straight thu without having to stop in Portland, but I am not considered I guess because I don't play golf.
Heck, my son-in-law in Seattle would bring his customers down to play golf if there was a straight flight from Seattle, but having done it once and having to change in Portland it was to much trouble and time, so he never did it again.
I drive to Seattle instead of the change overs in Portland, and the close call everytime, trying to make the close connecting flight to come home. So...why should my tax dollars go to help "outsiders" come here to play golf ??? Besides the tax breaks Bandon gave Bandon Dunes, they can afford the $250,000 to get the southbound planes in here.....

GS wrote on Mar 25, 2008 12:39 PM:

You're going to guarantee that they make a profit? Where can the business owners in our community get in line for a deal like that? The reality is that you are taking tax revenues and grant money provided by the many to subsidize the ticket prices for the elite few. Most of the tax payers in the airport district will never fly out of or in to this airport.


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