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GSP chief asks Spartanburg to help close $275,000 funding gap for new nonstop flights

Spartanburg City Council · September 23, 2024
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Summary

Dave Edwards Jr., president and CEO of the Greenville–Spartanburg Airport District, asked the Spartanburg City Council for local contributions to an Air Service Development Fund to support new nonstop routes, saying the fund currently has a $275,000 shortfall toward a $1.5 million goal.

Dave Edwards Jr., president and CEO of the Greenville–Spartanburg Airport District, told the Spartanburg City Council at its Sept. 23 meeting that the airport is pursuing new nonstop service and is asking local governments and partners to help close a remaining $275,000 funding gap.

Edwards gave a broad update on airport performance and development, noting GSP’s recent gains in passenger and cargo activity and multiple new or returning routes. He said the airport is seeking a $1 million small air service development grant from the U.S. Department of Transportation and that an additional community fund of about $1.5 million has been assembled to underwrite airline start-up guarantees. “We have a funding gap still right now of $275,000 — we’re looking to try to fill that gap,” Edwards said.

Edwards described the deal structure the airport and partners negotiated with Breeze Airways and other carriers: the community fund would provide a temporary, limited minimum-revenue guarantee to help launch new routes and then reconcile monthly against actual performance. He emphasized that federal regulations prevent the airport itself from directly contracting for or funding a revenue guarantee, so Visit Greenville SC is coordinating the contract and fund administration on behalf of the region.

Council members pressed for more localized data. One council member asked whether the economic and passenger figures the airport presented could be broken down to show impact specifically for the City of Spartanburg; Edwards said he did not have that city-level breakdown on hand but that the airport could produce it from booking-location data and other sources.

Edwards identified targets that would expand the airport’s West Coast and Northeast connectivity and said partners have committed sizable marketing and incentive support alongside the community fund. He asked Spartanburg to consider a contribution to the regional fund to fill the $275,000 shortfall so the committed letter-of-interest from an airline could move toward real service in 2025.

No formal city vote on a contribution was recorded at the meeting; Edwards said staff would follow up with additional data and that he stood ready to answer further questions.