Port on board with plan for Portland flights

By Jim Szymanski | The Olympian • Published February 12, 2008

OLYMPIA – Port commissioners unanimously gave their approval Monday to seek federal funds to launch daily commercial air service between Olympia Regional and Portland International airports.

A succession of carriers has provided service to the Olympia airport, but none had long-term success. The most recent was Big Sky Airlines, which ended service to and from Spokane after two years in September 2004.

"It's important to try and succeed," Commissioner Bill McGregor said of returning commercial service to Olympia. "One of these times we're going to do that."

Mark Sixel, a Eugene, Ore.-based port consultant who will seek federal Department of Transportation money to start the service, estimated a ticket to Portland would cost from $75 to $125, depending upon whether it was booked in advance and which airline provided the service. He estimated the flight time at 30 minutes.

Sixel told commissioners he envisions a commuter airline offering nine-seat piston powered propeller planes, which would include a network of other participants with flights serving Tacoma Narrows Airport, Bremerton, Port Angeles, Aberdeen and Roseburg, Ore.

Sixel expects to seek $1.5 million in grants aimed at meeting operations expenses above revenue generated from ticket sales. Though Olympia would be part of a network of cities served by a commuter airline, flights from Olympia would fly nonstop only to Portland International Airport and back.

"This can't be all things to all people," Sixel told the commission. "We hope to make it a starter service."

Sixel said he expected to know by the fall whether the federal government would approve grants.

Big Sky left Olympia because it could not attract enough customers on its daily routes from Olympia to Spokane. It did not operate with help from a federal grant.

Federal grants also could be used for advertising and marketing, Sixel said.

Cities in the network would have three years to use the one-time funds, Sixel said.

Sixel said Cape Air — which serves New England, Florida and the Caribbean — and Washington state-based Kenmore Air — which serves the Seattle area, the San Juan islands, Whidbey Island and Victoria, British Columbia — could bid for the service. But, he said other airlines might also chime in.

Such a service could appeal to state government workers, who could save money on gasoline and parking expenses they run up with service from The Seattle-Tacoma International Airport in King County, commissioner George Barner said.

Barner said it could take more than three years for the service to wean itself off the need for a subsidy.

"That's the rub on this grant," Sixel said, meaning once the grants are spent, the service must be self-supporting.

"No airline is going to be able to come in here and sustain losses," Sixel said.

Air service providers at or near the Olympia airport were lukewarm about the venture on Monday.

Earl Pearson, who ran a commuter service from Olympia to Seattle in 1979 and 1980, wants commercial service but doubted a commuter run to Portland could make money without a federal subsidy.

"As soon as the grants are gone, they're gone," he said.

Brian Reynolds, owner of Northwest Helicopter, said some passengers do not feel safe in smaller commuter planes. Security screening in Portland also could slow the service, he said.

"Driving to Portland is really not bad," Reynolds said. "The speed limits are so high on that road (Interstate 5) that everyone is driving 75 miles per hour."

Jim Szymanski is business editor for The Olympian. He can be reached at 360-357-0748 or jszymanski@theolympian.com.