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9/28/2011

TOLEDO BLADE - Airport lands $750,000 grant - Goal is to develop Denver route at ailing Toledo Express


For the second time in five years, the Toledo-Lucas County Port Authority has won a federal grant to support development of air service at struggling Toledo Express Airport, this time with a Denver route as the primary candidate.

The $750,000 grant announced Tuesday by the U.S. Department of Transportation through its Small Community Air Service Development program is nearly double the funding the port authority secured in 2006 for New York service -- a grant the agency returned unspent last year after failing to land an airline to fly from Toledo.

"Obviously, we're ecstatic. We put a … lot of work into that application," port authority President Paul Toth said after receiving notice of the grant award.

"Once we verify that everything is complete," he said, the next step will be to schedule a meeting with Frontier Airlines. The airline, while not guaranteeing it would fly between Denver and Toledo if the grant were awarded, submitted a supportive letter with Toledo's application, saying a grant would be factored into its assessment of the route's viability.

The grant is to be matched by $250,000 from the Northwest Ohio Development Fund, which is managed by the Lucas County Improvement Corp., to provide an airline offering new service in Toledo with a $1 million revenue guarantee during the first two years of the route's operation. The port authority promises another $250,000 for marketing support, and its grant application also promotes "in-kind" contributions from the airport valued at $642,025, and $235,500 in advertising subsidies from "media partners."

The airport support would include the waiver of airport fees estimated at $542,025 plus $100,000 in marketing support, and the "media partner" contribution includes $50,000 in print and online advertising offered by The Blade, plus offers from other Toledo-area newspapers, radio and television stations, and other media businesses.

Port officials hope service supported by the new grant will take off by May.

The grant was part of nearly $15 million in Small Communities grants the Transportation Department awarded yesterday to airport operators in 29 communities across 22 states.

The Transportation Department cited both Frontier's endorsement and local financial support as evidence Toledo was worthy of "a second chance at additional service."

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