CASPER, Wyo. — At a work session on Tuesday, the Casper City Council and others described the $400,000 request to subsidize the lone SkyWest/Delta Connection daily flight with a Minimum Revenue Guarantee as complicated, market-driven, frustrating and unfair.
“It feels like we’re held against the wall,” Vice Mayor Lisa Engebretsen said during the 70-minute discussion
Even so, she and the rest of council voted for it.
Before her vote, Councilor Gena Jensen said much relies on the Casper-Natrona County International Airport, and though city won’t like it, the end result is good for the community.
However, “right now, it stinks,” Jensen added.
During the work session, Tassma Powers of the Fly Casper Alliance and Casper-Natrona County International Airport Manager Glenn Januska presented their case, saying this marked the first time Casper was asked to pitch in for the MRG.
Powers called the SkyWest/Delta Connection an “at-risk” flight, meaning it might be offering its service at a loss and would need the MRG to stay in Natrona County.
So far, Natrona County has shouldered that responsibility, and now it’s up to the City of Casper as well, they said.
To give some background, airport President Kermit Wille wrote a memo to Casper Mayor Steve Cathey before the work session to outline the uncomfortable need.
“While admittedly nobody wants to have to enter into an agreement for air service, the reality is that for small, remote communities like Casper, an MRG is frequently necessary to maintain air service,” Wille wrote.
Air service would not go away without the SkyWest/Delta Connection service, but it would negatively affect the community for major events in Casper, Wille wrote.
Businesspeople, vacationers, physicians with patients in Casper, patients in Casper seeking healthcare in Salt Lake City and those attending events are among the people who use this air service, he said, adding that the loss of the SkyWest/Delta service in Casper could negatively affect the prices set by United Airlines as well.
Kaycee Wilta, board chairman of the Fly Casper Alliance, wrote to the council that the MRG for SkyWest/Delta Connection in 2024 is $2,061,041
The Natrona County Commission approved up to $1,084,500 for the MRG for the first six months of 2024 — $650,700 (60%) from the county and $433,800 (40%) from the state.
Powers cited a state study, also cited by Wilta, that showed the SkyWest/Delta service boosted the local economy by $11 million.
“It’s imperative we see this through,” she said. “We don’t think you’re on the hook, but we’re begging.”
Even so, Engebretsen and others weren’t happy how the burden fell.
Casper residents are already paying because they live in Natrona County, and none of the other municipalities in the county — Evansville, Mills, Bar Nunn and Midwest —are being asked to support the MRG, nor are nearby counties whose residents use the airport, Engebretsen said.
Nevertheless, Casper is willing to pay its fair share, she added.
Engebretsen and Mayor Steve Cathey suggested that SkyWest/Delta Connection could put a surcharge on tickets for passengers who live in those municipalities and counties.
Powers responded that could be a possibility.
Januska explained some of the bureaucratic and business aspects of commercial air service, such as the state’s programs for commercial air support, supply and demand factors, what planes the airlines say SkyWest must fly, classes of service and the relationship between SkyWest and the airlines it contracts with.
“It’s a complex issue; it’s a complex industry,” Januska said.
Powers noted that the SkyWest/Delta Connection is important for the business of the Wyo Sports Ranch by the Ford Wyoming Center, local hotels and long-term economic development.
However, Councilor Kyle Gamroth questioned the $400,000 request. If the council supports the MRG, he said it should consider pulling back on the of support for economic development efforts and spend that money more on infrastructure like fixing streets.
City Manager Carter Napier responded that support for the College National Finals Rodeo, Proud to Host the Best and other community events yield economic growth for businesses including hotels and restaurants.
Gamroth responded that the city does not see a direct return on its investments such as these, and there is no guarantee that the airport and Fly Casper won’t come back for another request for a Minimum Revenue Guarantee.
Even so, the council as a whole agreed to contribute to the MRG.
“We do a disservice to the community by not following through,” Councilor Jai-Ayla Sutherland said.
