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October 1, 2010

Feds choose new Augusta airport carrier

An airline switch at the Augusta State Airport has received final approval from federal transportation officials.

The Department of Transportation this week chose Cape Air over Colgan Air to provide passenger service to Boston for the next four years, a move city officials previously recommended, according to the Kennebec Journal. Colgan Air had serviced the airport since the early 1990s, but city officials opted for Cape Air's lower per-passenger cost in order to keep receiving a federal subsidy. The U.S. Department of Transportation subsidy is only available to airlines where the per-passenger cost does not exceed $200 if the airport is less than 210 miles from the nearest hub airport. Colgan's subsidy amounted to $298 per passenger, while Cape Air's proposal included a subsidy between $159 and $163 per passenger, according to the paper. The total annual subsidy for Cape Air is $1.36 million.

The switchover, scheduled to happen between Nov. 1 and Dec. 1, means smaller planes for the airport's passengers. Colgan flies 34-passenger planes, while Cape Air flies nine-passenger planes, reported the paper.

Go to the article from the Kennebec Journal >>

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