Local News & NorthwestSeptember 18, 2024

Airline wants ‘direction’ on proposal by Oct. 1, according to director

Elaine Williams Of the Tribune
Isaacs
Isaacs

United Airlines is seeking a $4.9 million revenue guarantee in the upcoming year to continue its nonstop Denver-Lewiston flights, which would be shifted to a larger aircraft.

The deadline to provide “direction” to the airline on its proposal is Oct. 1, said Michael Isaacs, director of the Lewiston-Nez Perce County Regional Airport, at a Tuesday meeting of its authority board.

United would replace the 1990s era 50-seat CRJ-200 jets on the route with 70-to-76-seat E-175 jets, Isaacs said.

The larger aircraft have the potential to generate more revenue partly because they have first-class, comfort-plus and coach areas, he said.

First-class passengers as well as business passengers who book flights less than three weeks in advance are where airlines make a significant share of revenue, Isaacs said.

Exactly who would pay for a subsidy is not clear. The owners of the airport, the city of Lewiston and Nez Perce County, didn’t include any money in their budgets for a subsidy for the 2025 fiscal year that starts Oct. 1.

A total of 40% of summer seats on United flights are filled by cruise boat passengers, said Isaacs, suggesting that if 20,000 cruise boat passengers paid a $200 fee it would generate $4 million in a year.

Lots of steps would be required to impose such a fee, such as restructuring the joint powers agreement that governs the airport since it doesn’t cover Asotin County, where the Port of Clarkston has the cruise boat docks, Isaacs said.

Another option is seeking solutions at the state and federal level, something Hannah Liedkie, a Lewiston councilor, said at the meeting she is beginning to explore.

“I cannot go after the taxpayer any more than what we are,” said Liedkie, who’s running unopposed for a seat on the Nez Perce County Commission this November.

Liedkie attended the meeting along with Nez Perce County Commissioners Doug Havens and Don Beck.

“The county and the city have been very successful with our contribution to get and keep United here,” said Havens in a text message to the Tribune after listening to Isaacs’ presentation. “But the failure of the business community to be supportive of the airlines as they are in other communities is a big disappointment.”

United has a revenue guarantee with the city of Lewiston where it could receive as much as $4 million for the year ending Sept. 30.

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The city provided the revenue guarantee after United stated it had lost $5.5 million on its Lewiston flights in 2023.

So far United has billed the city of Lewiston close to $4 million for that agreement — $1.4 million for October through December 2023, $1.74 million for Jan. 1 through March 1 and $845,208 for April 1 through June 30, according to figures from Lewiston Mayor Dan Johnson.

The subsidy from the city of Lewiston is in addition to $4 million United received from Nez Perce County over three years as part of the deal that brought the airline to Lewiston in 2021. The county’s $4 million came from its $7.8 million allocation from the American Rescue Plan Act.

Subsidies could be needed to maintain service “forever,” said Gary Peters, chairperson of the airport authority board.

There’s not a single community in the country that wouldn’t accept what United is offering if the money were available, Peters said.

But even with the hundreds of places money could be spent, Peters said, nothing is more important than air service.

The airlines are the lifeline for the community to grow and have been a key factor in businesses choosing to locate in the area, he said.

“We’ve done our job,” he said. “We’ve told you what it takes to get our service. We’ve got our service. We’ve maintained our service. Now we’re telling you what it’s going (to take) to keep it.”

The momentum is moving in the right direction, with passenger numbers climbing, Peters said.

Lewiston still had Delta’s flights to Salt Lake City after Horizon Air withdrew its Seattle and Boise flights in 2018.

The debut of United’s Denver flights was followed by Delta’s introduction of direct flights to Seattle in 2023. Delta’s Lewiston flights are not subsidized.

“We are the smallest community in America with two network carriers serving three hubs,” Peters said. “That has not (come) easy. So just to throw in the towel so to speak would be really awful. I think it would be a decision that you would regret for a long time.”

The Lewiston airport is one of two commercial passenger airports serving the region. The Pullman-Moscow Regional Airport has direct flights to Seattle and Boise on Alaska Airlines.

Williams may be contacted at ewilliam@lmtribune.com or (208) 848-2261.

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