The recently initiated conversation about direct flights between Kenai and Seattle inched forward last week when the Kenai City Council decided to pursue a grant aimed at drawing major airlines to the Kenai Municipal Airport. The decision to apply for the grant comes with a request for a joint resolution of support from the Kenai Peninsula Borough and several peninsula communities.
Following a presentation by Volaire Aviation Consulting during the June 19 city council meeting, enthusiasm about the potentially profitable and convenient endeavor spiked. However, the city is now evaluating challenges in attracting an airline to establish direct flights to the local airport, also identified in Volaire’s report. Some of those challenges include a current shortage of pilots, increased costs, and fewer airlines.
In addition to bringing attention to these challenges, Volaire also suggested some solutions. One potential solution is a grant opportunity through the Small Community Air Service Development Grant Program (SCASDP). This program, funded by the Airport and Airway Trust Fund (AATF), provides financial assistance to small communities to enhance their air service. According to the memo attached to the city council resolution, “The AATF collects revenue from taxes on domestic flight tickets, international arrivals and departures, air cargo, plane fuel, and purchases in loyalty and frequent flier programs.”
With this grant on the table, Kenai city administration reached out to the Kenai Peninsula Borough, as well as the cities of Soldotna, Seward, Homer, Seldovia, and Kachemak, for support through a Joint Resolution.
According to City Manager Terry Eubank, thus far the response from those communities has been very positive. “We have not received any pushback,” Eubank said at the meeting. “All are willing or have it scheduled for their agendas here in early July. You know, obviously, it’s up to their bodies. So, no promises, but you know, it’s been really encouraging.”
To date, Eubank said the city has spent less than $35,000 on the study and contract with Volaire, which will assist in the grant application process. “We have a one-year contract with them at this point to continue working on the project to develop air carrier service with Kenai Airport. Beyond that, at this point, no other funds have been appropriated.”
Volaire’s study showed that the vast majority of those flying to Anchorage from Kenai are flying beyond Alaska’s largest city. “95% of your passengers that fly out of this airport are buying two tickets. When they leave or come back, they’re buying 1 ticket to Anchorage and another ticket from Anchorage to wherever they’re going,” said Penning during the June 19 meeting.
At that time, Penning said that direct flights from Kenai to Seattle were not only viable but would significantly reduce travel expenses for anyone leaving the state with a trip beginning on the peninsula.
This news elicited an immediate sense of excitement from many within the community, who took to social media to voice their support. Not all were excited, however, and some questioned the cost of airport expansion and its impact on existing airlines. Eubank and some members of the council noted these observations and commented on the need to address those concerns, hence the pursuit of the grant.
“I’ve seen a lot of the postings out there on social media and stuff, and I think, you know, what’s incumbent upon us is to get more information out there because I think a lot of the questions or concerns out there can be answered with just some accurate information.”
While direct flights between Kenai and Seattle are still some time off, the grant application and joint resolution represent another step forward in the process.
