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Local dollars key to new nonstop air service

By Brian Shane

Staff Writer

A deal to secure direct flights from Salisbury’s airport to Orlando is on its proverbial final approach before landing.

Wicomico County is about to strike a landmark agreement with a low-cost airline, meaning locals could be cruising uninterrupted from the Lower Shore to destinations like Disney World and Universal Studios by as early as spring 2025. Direct flights may be scheduled as frequently as two to three times weekly.

“Florida markets are some of our strongest markets. If we can capture a percentage of people that go to other airports, that’ll help build our base travel customers. The more we get people flying here, the more it’ll build us up,” said Tony Rudy, director of the Salisbury Regional Airport.

Flights will be on brand-new aircraft that can carry between 100-150 people. While the name of the airline is being held back until a final agreement is signed, Rudy confirmed it’s an “ultra low-cost carrier” that will carry passengers to Orlando International Airport. They hope to make that formal announcement by year’s end.

“I’m real positive about it, knowing the demand that’s there and the frequency they’ll be flying. I think it’ll be successful,” Rudy added.

Orlando is a top market for air travel among Lower Shore residents, according to Transportation Department passenger ZIP code tracking. However, the Salisbury airport loses 80% of local travelers to airports in Baltimore, Philadelphia, or Washington – where nonstop bookings to the Sunshine State happen to be much cheaper, at least for now.

“What I’ve been hearing lately is, they’ll take a look at Salisbury first,” he said. “If people check out fares, they might be surprised. It could be close to what they’d pay at another airport, and they don’t have to drive two hours or pay for parking. It may be a wash or they may come out ahead.”

The agreement hinges on an $800,000 grant awarded by the U.S. Department of Transportation, which was greenlit late last month at the federal level. The grant comes from the agency’s Small Community Air Service Development Program.

Should the airline suffer any financial loses in its first two years of operation, the cash will go into a sort of escrow fund, from which the airline will be allowed to dip into monthly. This hedge against losses, which is also earmarked in part for marketing and start-up costs, is being called a “comprehensive revenue guarantee.”

Rudy said the deal wouldn’t have happened without it.

“When airlines start new routes, they take a big risk on making a profit,” he said. “What this grant is for, they basically set a revenue goal for each flight. They expect X amount of dollars. If they fall short, then this grant and the local contributions will make up that difference.”

However, if the airline does well and doesn’t need the money to shore up losses, then the money would be refunded to each of the entities that donated, Rudy said.

Supplementing the federal grant is another $217,500 in local pledges from area businesses and government entities, bringing the airline’s safety net to over $1 million.

That includes $50,000 pledges from Wicomico County and Worcester County, and $25,000 from Ocean City. Other Ocean City-based donors include Ocean Downs and Royal Plus ($10,000 each) as well as the Harrison Group and Positive Energy ($5,000 each). Pocomoke City-based defense contractor Hardwire LLC also pledged $5,000.

Salisbury’s airport opened in the 1940s. Its primary airline since the 1970s has been Piedmont, which has served the area since its earliest days as Henson Airlines. The company is headquartered in Salisbury and isn’t going anywhere, Rudy said.

In 2012, Allegiant Airlines unsuccessfully attempted regional service out of Salisbury to Orlando. Rudy said Allegiant failed for many reasons; its older equipment proved unreliable, and the route schedules and hours weren’t family friendly. Allegiant also flew into Orlando’s secondary airport, Sanford International.

Next, the Salisbury airport will be getting a security system upgrade and a much-anticipated runway extension, which Rudy said will help accommodate larger aircraft in the future.