Fly Salem asks Polk County to consider $25,000-a-year contribution as it presses to restore commercial service

Polk County commissioners on Jan. 27 heard a presentation from Fly Salem on efforts to restore scheduled commercial flights at Salem2fWillamette Valley Airport and were asked to consider a modest, three-year financial commitment.

Fly Salem representatives told the board they and local partners have assembled an incentive package they estimate at about $1.5 million, spread over three years, to make the market attractive to carriers. A Fly Salem presenter said a prior federal award "of about $850,000" and matching private contributions helped create a pool that Avelo used previously and that roughly $100,000 of private donations remains available to be rolled into future efforts. "We have all the ground service equipment, necessary to serve charters and commercial airlines," the presenter said, adding the terminal is TSA-ready and that local firefighters, police and ground crews are trained to support commercial operations.

Commissioners pressed presenters for specifics about how a minimum revenue guarantee (MRG) would be administered. The presenter explained that MRGs are typically negotiated by a consultant and reconciled on a monthly or quarterly basis; if revenues fall below the contract27s guaranteed minimum, the airline receives supplemental payments up to that amount. "That money going into it should be seen as money you're not getting back," the presenter said, adding that MRGs are often used as price support during the first one to three years of service.

Fly Salem also outlined market data and route performance from the Avelo era: presenters said Burbank flights reached mid-80% load factors while Las Vegas averaged around two-thirds. They argued demand exists across a catchment area they estimate at roughly 680,000 people and cited an economic-impact figure tied to Avelo service, saying the region saw approximately $32 million in impact during the carrier27s operation.

On funding, the presenters said Marion County has committed $100,000 per year for three years and that the City of Salem intends to include a sponsor contribution in its upcoming budget process. When asked what Polk County was being asked to provide, a Fly Salem representative said the local ask was $25,000 a year for three years. Commissioners and presenters discussed budget timing: presenters recommended earmarking funds in the 20262f27 budget cycle (available July 1), while acknowledging that the earliest realistic launch date is likely in the fall rather than summer because of industry constraints.

Presenters stressed that national airline dynamics are a major constraint: bankruptcy and fleet reallocation by carriers such as Spirit have limited airlines27 willingness to commit aircraft and crews to new markets. They said SkyWest, a regional operator that often flies as Delta Connection or under other major-carrier brands, is among the candidates they will approach at recruitment meetings planned in April.

Commissioners did not take a formal vote on funding at the meeting. The presenters asked only that Polk County consider an earmark through its budget process rather than write a check immediately. A county official noted the decision would be considered as part of the regular budget cycle and that any funds not used for air-service recruitment could be reallocated in later years.

The meeting also included two routine procedural votes: commissioners approved the day's agenda and the Jan. 20 minutes. The session ended with a public-safety reminder about a recent traffic fatality and adjournment.

What happens next: Fly Salem plans to attend airline recruitment meetings in April and will return with specifics if an airline shows interest; any local sponsor checks or transfers would be expected only after a carrier indicates terms and the sponsoring entities finalize commitments.