Fueling contract could attract airline
By JILL SCHRAMM, Staff Writer jschramm@minotdailynews.comIf the City of Minot decides to award a fueling contract to a fixed-base operator, it might put the airport in a better position for attracting a westbound airline.
The Minot City Council's Airport Committee voted Tuesday to recommend the council negotiate with Pietsch Aircraft Restoration and Repair to take over the aviation fueling services that now are provided by the city. Pietsch would provide a number of other services under the contract, some of which it already is providing. A new service might be baggage handling for a second airline.
Lack of a ground-handling service has hindered Minot in attracting Allegiant Air, which has looked at providing flights to Las Vegas, Nev., from Minot, said Jim Hatlelid, Airport Committee chairman. Allegiant currently serves Bismarck, Grand Forks and Fargo.
Minot had been among airports invited to meet with Allegiant to discuss the company's expansion, said David Waind, Minot city manager.
"We are being looked at positively," he said. He added, though, the earliest date that Allegiant is looking at for service is Jan. 1, 2010.
Allegiant Air confirmed that the company has had conversations with Minot and sees opportunity. However, company officials reported nothing to announce regarding any future service in Minot.
The Airport Committee had considered the effect on the airport's budget if the city retained fueling and had to provide baggage handling. Budget estimates drafted by the finance department showed that the city would have to add 1.2 mills to the property tax to provide baggage handling if an airline comes in and there's no private entity to provide the service.
The extra mills would bring the airport's total levy to about 4.09 mills. That compares to a mill levy of 4.14 mills if the city turned fueling and baggage handling over to a fixed-base operator.
However, if Pietsch removed its operation from the airport, which it has talked about doing if it isn't allowed to sell fuel, the airport would have to take on additional duties typically provided by a fixed-base operator, including aviation mechanics. Hiring mechanics could raise the mill levy to 5.1 mills.
Hatlelid said Minot would continue to seek another westbound carrier if Allegiant decides to provide service. Allegiant would serve the market to Las Vegas and Phoenix, Ariz., but there is a need for service to other westbound locations, including Denver, he said.
Airport officials also are continuing to talk with Delta-Northwest Airlines about fare discrepancies between Minot and Bismarck. Despite efforts to address the problem this past year, Hatlelid said, differences persist that make flying out of Bismarck more attractive.
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42jeff
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07-01-09 11:26 AM
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The past few times we've bought tickets we've gone to Bismarck. And once even to Fargo just because it was so much cheaper that it was worth six hours driving time to save $400. It's hard to understand why it costs so much more flying in to Minot. It's not really that much further than Bismarck from Minneapolis as the crow flies.
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