County approves agreements subsidizing potential losses on Casper to Salt Lake City flights

CASPER, Wyo – The Natrona County Commission on Tuesday approved two agreements formalizing its obligation to cover the potential losses SkyWest could face over a six-month period on a once-a-day flight to and from Casper and Salt Lake City maintain.

The commission informally agreed in October to subsidize up to $ 755,000 in losses SkyWest estimates would incur if flights were only booked at 55% capacity.

According to the contract signed on Tuesday, no quarterly subsidy is owed for passenger revenues that exceed costs. If the costs exceed the income, the difference is paid quarterly to SkyWest. In return, SkyWest undertakes to maintain the flights until April.

40% of the subsidies to be paid out would be covered by the Wyoming Department of Transportation’s Air Service Enhancement Program, which was also approved on Tuesday.

Glen Januska, director of Casper-Natrona County International Airport, said the airline’s loss estimate of $ 755,000 is conservatively high and it is entirely possible the losses would be smaller.

Commission Paul Bertoglio said Tuesday there were anecdotal reports that flights between Casper and SLC had recently been “jam-packed”. If this trend continues, the county would be responsible for paying far less than it agreed to.

Bertoglio also said that other municipalities in the county are “ready” to contribute to the subsidy. Advance Casper also set up 501 (c) (4) to support a certain amount. Justin Farley, CEO of Advance Casper, was unavailable Tuesday to comment on the organization’s contribution.

The agreements can be found from page 37 of the Commission’s agenda package.

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