AIRPORT PLANS FLYABLE

In the past year of Cape Air serving Watertown International Airport, 2,096 passengers have boarded the airline's nine-seat Cessnas bound for Albany.

That's about one-fifth of what Jefferson County wants to see for departing passengers, also called enplanements. The Federal Aviation Administration would increase its funding from $150,000 to about $1 million if enplanements reach 10,000.

"Ten years ago, there were 10,000 enplanements there," County Administrator Robert F. Hagemann III said. "So know we can do it."

A business analysis and plan the Board of Legislators received in early October brought county officials some new ideas for airport development, but mainly confirmed the track the county is on. The county was one of a handful of airport operators chosen by the state Department of Transportation to have an analysis done by a consultant in 2006. DOT handles the entire process and allocates about $50,000 per plan, said Deputy County Administrator Michael E. Kaskan. The funding supported the work of McFarland-Johnson Inc., Binghamton, and R.A. Wiedemann & Associates Inc., Georgetown, Ky., on the report.

The 62-page report recommended a plan for improvements with four primary initiatives:

■ Renegotiating the lease with the primary tenant, the fixed-base operator.

■ Branding, marketing and promoting the airport.

■ Improving air service.

■ Developing aviation and non-aviation property.

Of the initiatives, the renegotiated lease was the only one the county is not already pursuing.

To forward those initiatives, the report said the county should immediately work on a runway extension, marketing budget, renegotiation of the operator lease and development of minimum standards for the fixed-base operator.

RENEGOTIATE WITH BROUTY

Tom Brouty Aircraft Services, which is the fixed-base operator, leases almost all of the general aviation facilities at the airport from the county and rents hangar and tie-down space. The airport service company also operates the fuel farm, provides deicing, offers aircraft repair and rentals, and assists with ground transportation.

The report recommended renegotiating the contract between the county and company.

"Certainly, it's a concept we're intrigued with," Mr. Hagemann said. "What we're doing on our end is homework so we can better understand what that entails and what are the experiences with other, similar-sized airports."

The city of Watertown and operator agreed on an exclusive 40-year contract, which stands through June 30, 2031.

"I like the lease as it is, but I'm not going to say I'm not open to it at all," Thomas R. Brouty, president of the aircraft service company, said. "There hasn't been anything formal."

Currently, the base rent for the airport service company is $869 per month, plus certain percentages of the gross rent of the hangar space it rents to pilots and fuel sales. Annual county revenues through the last three years have averaged $16,900 from the contract.

Mr. Hagemann said if both parties could gain from renegotiation, the county would certainly pursue it.

MARKET THE AIRPORT

The county has worked with Cape Air, Hyannis, Mass., and other airports in the region to sell passengers on the idea of flying out of Watertown.

In an effort to attract passengers, Cape Air carries out an online, print and radio advertising campaign. Airline representatives have been attending business shows and reaching out to Fort Drum.

"We've been very active with the chambers," said Leslie Myrbeck, director of marketing for the airline. "And we've worked with the North Country Airport Alliance, matching dollars and working with them to promote air service."

The alliance includes airports that have commercial service with Cape Air, including Ogdensburg, Massena, Plattsburgh and Saranac Lake.

The report recommended the county set aside $10,000 annually for creating an image and marketing the airport. The recommended 2010 budget includes $10,000 for advertising. "Ultimately, as commercial service goes, so goes the airport," Mr. Hagemann said.

Cape Air's enplanements from Sept. 17, 2008, when its operation began at the airport, through August were about 2,000. That's down from previous airlines at the airport.

The county reports that in 2007, Big Sky Airlines offered flights to Boston and Albany, which 7,467 passengers used. In 2006, with USAirways providing flights to Pittsburgh, the airport had 3,828 enplanements.

After Big Sky, Billings, Mont., pulled out Jan. 7, 2008, citing high costs, Watertown had no air service until Cape Air began flights more than eight months later.

"Not having air service for a full year didn't help," airport Manager James L. Lawrence Jr. said. "It was like starting all over again."

The Essential Air Service contract between the Federal Aviation Administration and Cape Air to serve the Ogdensburg, Massena and Watertown airports expires in September. Before airlines submit bids to cover the region, Watertown may ask the FAA to be considered as a separate bid, Mr. Lawrence said.

IMPROVE AIR SERVICE

The report pushed expanding one of the airport's two runways. The county has a 95 percent grant from the FAA for the $259,000 design phase to extend Runway 10-28 by 1,000 feet from 5,000 feet to 6,000 feet.

"We want it to be 2,000 longer and we've not given up on that possibility," Mr. Hagemann said.

A full 2,000-foot extension would allow planes that can carry 50, 70 or 86 passengers to land, even in inclement weather.

"We don't need it now, but it would be part of the package," he said.

The capital improvement plan estimates a $9.1 million pricetag for a 1,000-foot runway extension. An additional 1,000 feet wouldn't cost much more, county officials said, and would mean the full length is done in the next year or two, as opposed to another four-year cycle.

But the 1,000-foot extension was all that received preliminary approval from the FAA because of the low number of enplanements.

"At the very least, we have sufficient general aviation traffic to justify 1,000 feet, but the commercial activity didn't justify the additional 1,000 feet," Mr. Hagemann said.

He described it as a "chicken-and-egg scenario" where the full extension is necessary for large enough planes that would lead to longer trips and more passengers.

On Friday, county officials explained the project and the support from Fort Drum officials and the community to U.S. Sen. Kirsten E. Gillibrand, D-N.Y.

"Fort Drum ships 13,000 people to Syracuse each year," Legislature Chairman Kenneth D. Blankenbush, R-Black River, said. With the 2,000-foot extension, Fort Drum would have the soldiers take a much shorter trip to Dexter.

"It would save them more than a million dollars a year," Mr. Hagemann said.

Sen. Gillibrand said, "I will work hard to support the project."

She promised to work with fellow Democrat and New York Sen. Charles E. Schumer on writing letters of support for funding applications for the project.

If business increases, the report promoted adding hangars, car rental service, an airport manager and, eventually, a small restaurant.

To reach 10,000 enplanements from Watertown, the consultants found Cape Air would need to fly five daily round trips. Cape Air exclusively uses nine-seat Cessna 402s and, with an expected occupancy rate of 65 percent, it would need 32 flights per week to reach the necessary 850 enplanements per week.

"The key to our success is the 402s," Cape Air spokeswoman Michelle Haynes said. "It can carry less than nine passengers so that we can afford to fly. If there's a big demand, we would add more flights."

Last year, she said, Cape Air carried 689,000 people on the nine-seater planes on its flights in places including New England, the Caribbean, the Florida Keys and Micronesia. By comparison, Big Sky flew 19-seat planes to Albany and Boston's Logan International Airport. Big Sky also had a codeshare partner in Delta Airlines, which meant passengers could book an entire trip as one package. Cape Air lacks a codeshare partner for the Watertown flights.

Cape Air has ticket and baggage agreements with all the major carriers except Southwest and Air Tran, Ms. Haynes said.

Codeshare is "something we work on all the time," she said. "It would help, certainly, to get the numbers up."

DEVELOP THE PROPERTY

A major prerequisite for businesses locating at the airport will be public water and sewer service.

The land in and around the airport has about 560 acres available for commercial development, but wetlands will limit development on the southern end of the airfield, so not all of the 560 can be used.

The airport would be part of the proposed Water District 5 in Hounsfield, which also would serve residents on Route 3, Route 180 and Foster Park Road.

"We have generally poor water quality and supply for residences," Hounsfield Supervisor Martin A. DelSignore said. "And we have the airport and economic development sitting in the district."

The poor water supply, the potential commercial development and the possible completion of a loop of town water districts are prime reasons the town's applications to U.S. Department of Agriculture Rural Development agency and the state Drinking Water Revolving Fund for funding should be competitive, Mr. DelSignore said.

The town has an offer from USDA for a $2.1 million grant and a $2.6 million loan at 3.75 percent interest, but wants an additional grant and no-interest loan from the state fund. The town wants to see a user cost of at most about $750, and the package from Rural Development alone doesn't get it low enough. Town engineer Kris D. Dimmick, of Bernier, Carr and Associates, Watertown, said the state traditionally makes an announcement on its funding in early summer.

Mr. Hagemann called water "the big key" and said several organizations are working together to make water service happen.

Town and county officials believe the water service is likely. Sewer will take more time and money to happen, they agreed. But with both, the airport can be a strong economic development tool.

"The airport allows us to be a little more creative," Mr. Hagemann said. "There's more flexibility built into this exercise than typical for the county. Certainly, there's a lot of time, energy, money going into it, but we expect it to pay back in positive ways for the community for years to come."