Laramie County commits another $500,000 to fund local air service

Jan. 3—CHEYENNE — On Tuesday, the Laramie County Board of Commissioners voted to allocate another $500,000 for the Cheyenne Regional Air Focus Team to support the continued funding of air service in Cheyenne.

This is part of a minimum revenue guarantee agreement between CRAFT and SkyWest Airlines worth up to $2.5 million for the 2024 fiscal year. Other funds come from the state, which pledged $1.35 million, and the city of Cheyenne, which pledged $500,000, with the remainder split between the Cheyenne-Laramie County Economic Development Joint Powers Board, Visit Cheyenne and Cheyenne LEADS.

SkyWest may use this money to cover its costs to provide local air service, and whatever isn't used is returned to the contributing organizations. Last year, the airline used all the allocated funds, but that isn't always the case.

Wendy Volk, president of CRAFT, said that disruptions like the COVID-19 pandemic and runway construction projects have meant SkyWest has had to use all of the available funds from time to time over the eight years the minimum revenue guarantee agreement has been in place.

"I think flying in and out of Cheyenne is one of the hidden, really nice things that has happened in the last few years," Laramie County Commissioner Buck Holmes said before a unanimous vote of approval from the county Board of Commissioners on Tuesday.

Since the newer $18 million terminal opened in November 2018, it has served more than 110,000 passengers. According to Volk, every $1 invested in air service returns almost $7, and it generates $27 million a year in economic activity.

"Air service is a crucial part of our tourism strategy for our community," Volk said Wednesday.

The only change in the agreement this year compared to the last fiscal year is that the agreement will terminate automatically at the exhaustion of the county's $500,000, or June 30, 2025, which is the end of the 2024 fiscal year, whichever is earlier. Last year, there was no termination date.

County Commissioner Linda Heath, who is the commission's liaison to the Cheyenne Regional Airport Board, said all funds were fully expended under this agreement last year, though it did spill over into the next fiscal year. She said that was because flights averaged around 85% full, paired with construction disruptions, so SkyWest didn't use up the funds as quickly.

There are two flights per day with United Express, operated by SkyWest, to and from Denver International Airport. The flights use a 50-seat regional jet for the approximately 17-minute trip to Denver.

Noah Zahn is the Wyoming Tribune Eagle's local government/business reporter. He can be reached at 307-633-3128 or nzahn@wyomingnews.com. Follow him on X @NoahZahnn.