Airport Alert: DOT Approves Airline Service Exemption Requests

The Department of Transportation has largely approved plans from Delta, Hawaiian and Alaska to suspend air service to a long list of communities. The move comes after the agency rejected service exemption requests from JetBlue and Spirit.

 

H.R. 748, the Coronavirus Aid, Relief, and Economic Security Act, which the President signed into law on March 27, provides a total of $58 billion in loans, loan guarantees and grants for passenger and cargo carriers.  The bill authorizes DOT to require carriers receiving financial assistance to maintain scheduled air transportation to "the extent reasonable and practicable."   

 

DOT on April 7 issued a Final Order indicating how the agency plans to implement the air service conditions in the CARES Act.  Since then, several carriers have requested exemptions from their minimum service obligations.

 

Delta: DOT recently approved Delta Air Lines' seasonal exemption request to temporarily suspend service to six communities: Cody, WY; Ketchikan, AK; Juneau, AK; Sitka, AK; Martha's Vineyard, MA; and Nantucket, MA "until the regularly scheduled start-up dates" that range from May 22 to June 26.

 

But DOT rejected Delta's request for an exemption to provide service to West Yellowstone, MT and technically rejected a request to end service to Cedar City, UT. Both are Essential Air Service communities served by SkyWest Airlines. The agency noted that, "EAS contracts take primacy over CARES Act service obligations." However, Cedar City has a "runway construction resulting in an airport closure," so the airline will need to work with DOT's EAS office.

 

DOT also deferred action on Delta's request to suspend service to two points in the U.S. Virgin Islands.

 

Hawaiian: DOT approved Hawaiian Airlines' request to temporarily suspend service to eight communities from April 17 to September 30 including: Boston, Las Vegas, New York, Phoenix, Portland, Sacramento, San Diego and Seattle. The agency indicated that it would not be "reasonable or practicable" for Hawaiian to provide service to those points.

 

The agency also approved Hawaiian's request to suspend service to Kapalua Airport in Lahaina, HI and provide service to Kahului, HI instead. The agency points out that Kahului is "Maui's primary airport and has facilities that can accommodate cargo and large aircraft" unlike Kapalua Airport, which supports commuter aircraft.

Alaska: DOT approved Alaska Airlines' request to temporarily suspend service to three points in Hawaii - Kona, Lihue, Kahului - from April 17 through September 30. The agency pointed out that "imposition of Hawaii's mandatory 14-day quarantine order for all travelers to or within Hawaii impacts severely and discourages such passenger travel."

 

DOT also granted the airline's seasonal exemption request to temporarily suspend service to Sun Valley, ID from April 17 to May 31 because the carrier has not traditionally served that point in April or May. But the agency will require the carrier to begin serving Sun Valley on June 1.

JetBlue: DOT on April 16 rejected JetBlue's request to temporarily suspend service to ten communities. However, the agency approved the carrier's request to end service to two points in Puerto Rico because the Governor has requested that the FAA "impose flight restrictions to diverted all scheduled and unscheduled commercial carrier passenger flight to Puerto Rico."

Spirit: DOT on April 16 rejected Spirit Airlines' request to temporarily suspend service to 23 communities. The agency approved the carrier's request to suspend service to Puerto Rico, and it deferred action on service to two communities in the U.S. Virgin Islands. The agency also approved the airline's request to remove three communities from its service obligation: Albuquerque, NM; Birmingham, AL; and Macon, GA since the carrier does not serve those communities.