Town of Taos approved two motions Monday to cover minimum‑revenue guarantees for airline service in September after passenger loads fell short of forecasts.
The council voted to pay JSX Airways $700,524.56 and Contour Airlines $162,900.83 to satisfy contractual minimum revenue guarantees for September. The payments follow a reconciliation of invoices and were funded primarily from a RAISE grant the town has used to support air service; town staff said the town will cover its required local match from budgeted amounts.
Airport manager Colton Rapson told the council the JSX figure reflected a now‑final invoice that differed from earlier estimates. “We did add more flights this summer…we did bring the most enplanements that we've ever had,” Rapson said, noting JSX’s seasonal service and that the airport is on track to reach 10,000 enplanements for the year — a threshold that would increase FAA funding. He said the JSX invoice required payment despite a forecast error because the minimum guarantee applies whether the forecast is met or not.
Council and staff discussed factors that raised costs. Rapson and staff said new Transportation Security Administration screening requirements for Part 135 operators increased costs: metal detectors and an x‑ray machine required additional security staffing and equipment. Director of Marketing and Tourism Chris (surname) noted the airport’s recent marketing work and said town advertising was ongoing; she and Rapson said bookings were rising and that winter operations are expected to improve load factors.
Manager Denise Martinez confirmed RAISE grant funds remain available to cover the payments and noted the town’s airport budget will still need to meet local match requirements. Councilors asked staff to continue advertising and local discount programs that encourage resident travel.
Why it matters: The payments allowed Taos to keep contracted air service operating while the town and the new carriers establish regular demand patterns. Town officials said the airport may qualify for higher FAA entitlements if 10,000 enplanements are reached in the year, which would increase airport operating resources.
The motions passed by roll call; councilors voting “yes” in the record included Council Member Oswald, Council Member Darian Fernandez and Mayor Pro Tem Marietta Fambro.