FCA was founded in 2022 as a 501 (c) (4) to keep the heart of Wyoming’s businesses and people connected globally through commercial air service and access to the two major cities in the region, Salt Lake City and Denver. Post Covid, Natrona County was presented with a minimum guaranteed revenue request (MRG) by the Delta Airlines regional carrier, SkyWest, to keep Casper directly connected to Salt Lake City, a pivotal regional hub for economic growth in Natrona County. FCA advocates for and educates the public and the private sectors on what an MRG is and how it impacts the economic development of Natrona County.
FOR IMMEDIATE RELEASE
Contact:
Kaycee Wiita
June 24, 2024
Minimum Revenue Guarantee (MRG) Application Withdrawn
On June 17th, the Casper/Natrona County International Airport (C/NCIA) Board of Directors notified Fly Casper Alliance (FCA) that it voted to no longer support the minimum revenue guarantee (MRG) which enabled SkyWest, as the Delta Connection, to provide service to Casper and central Wyoming. Subsequently, the Natrona County Commissioners withdrew the application for MRG support from the Wyoming State Aeronautics Commission rendering the MRG request void. At this time, we do not have a date when the Delta Connection service will end. This does not effect the United Express service.
Withdrawing the minimum revenue guarantee (MRG) application was not the outcome Fly Casper Alliance had hoped for and we know that losing this valuable resource will be a hardship for many of our residents including those who use this flight for medical purposes and access to their jobs, not to mention the medical personnel that the flight brought to the area and the visitors who came and spent money in our restaurants, our local shops, at our hotels, and our attractions.
Thank you to the Natrona County Commissioners, The Casper City Council, Converse County Commissioners, the City of Douglas, Advance Casper, and Visit Casper for your support of the MRG. Also, thank you to our local businesses and other entities who also committed funds to the MRG. All funds have been returned to entities who had submitted funding to Fly Casper Alliance.
THANK YOU, central Wyoming for joining us in this effort. The people in central Wyoming truly rally for good causes that benefit the region and will continue to do so going forward.
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FCA helps the community understand what an MRG is and why it’s necessary, for now.
FCA connects the community through information. We support long-term, sustainable commercial air service.
Why does SkyWest ask for an MRG?
SkyWest – as the Delta Connection – flies “at-risk.” meaning that if the flights aren’t full they lose money. SkyWest requires an MRG for all Delta Connection routes, all fly “at-risk” except for St. George, Utah where they are headquartered, in order to avoid operating at a loss.
“Contract flying” is when an airline, such as United, pays a regional carrier like SkyWest to fly a route, which is the case for service to Denver. In this case, United assumes the risk of flying the route, not the regional carrier.
How does SkyWest determine what the MRG will be?
The MRG is calculated using projected fuel costs and a cost per hour to operate the aircraft (outside of fuel) against projected passenger revenue. If projected revenue does not exceed projected expenses, the difference becomes the MRG.
Why does SkyWest fly without an MRG for United?
United compensates SkyWest for contract flying for their flight services to Denver, so there is no need for an MRG.
Why does Casper need a flight to Salt Lake City?
Maintaining commercial service between Casper and Salt Lake City is essential for the economic development of our region. Did you know that most of Natrona County is a Foreign Trade Zone (FTZ)? It’s the only foreign trade zone in Wyoming!
The FTZ coupled with the only international airport in Wyoming, the Casper/Natrona International Airport, serves as a pivotal hub for business, tourism, and trade within Wyoming and the surrounding areas. The direct flight to Salt Lake City, a major transportation and business center, facilitates convenient access for local businesses, entrepreneurs, professionals and tourists which grows the economy in Natrona County.
This connectivity not only encourages businesses to establish a presence in Casper, but also promotes tourism, which is a significant source of revenue to Natrona County. In addition, it enhances Natrona County’s accessibility to national and international markets, fostering economic growth and strengthening the community’s livability. Without this vital link, opportunities for economic development and growth in Natrona County would be hindered.
How does the Minimum Revenue Guarantee impact the economy in Natrona County?
In November of 2023, at the request of Fly Casper Alliance, the Wyoming Department of Transportation Aeronautics Division did a Return on Investment (ROI) study for the MRG that had been paid by the county and the state from June 2022 through July 2023. This study concluded that in that time period, the Delta Connection flight between Casper and Salt Lake City contributed $11+M to the economy in Natrona County.
President/CEO, Casper
Area Chamber of Commerce
Casper City Manager
Executive Director, WYO Sports Complex
Here are five fun facts highlighting why travel from Casper to Salt Lake City is more convenient than driving:
“Flying out of Denver or Salt Lake is cheaper than flying out of Casper.”
Analysis of additional costs, Casper vs. Denver or Salt Lake City (based on a four day trip):
Variables | DEN | SLC | CPR |
---|---|---|---|
Parking | $32-$120 | $48-$220 | $0-$14 |
$364 | $537 | $0-$14 | |
Tolls | $12-$18 | $0 | $0 |
Total Cost (Rounded) | $408-$502 | $585-$757 | $0-$38 |
Time (Driving) | 7.5 hours | 12 hours | 28 mins |
Total Cost (rounded)
Time (Driving)
$32-$120
$364
$12-$18
$408-$502
7.5 hours
$48-$220
$537
$0
$585-$757
12 hours
$0-$24
$0-$14
$0
$0-$38
28 minutes
Fly Casper Alliance founded the Fly Casper Alliance Scholarship for Aviation Students Fund at Casper College to help offset the cost of instruction for students enrolled in the commercial aviation program. The first awards will benefit students pursuing a commercial aviation degree starting with the Spring 2024 semester. If you’d like to make a donation to this scholarship fund, click on the link below and type “Fly Casper Alliance Scholarship for Aviation Students Fund” in the comments box. All donations are tax-deductible. The Casper College Fund is a 501(c)(3) – EIN:83-6003050.
Email:
info@flycasperalliance.com
Phone:
307-577-7011
Location:
139 W 2nd Street, Ste. 1-D Casper, WY 82601