YRA, Delta continue negotiating SLC route’s return

CODY (WNE) — Although negotiations between Yellowstone Regional Airport and Skywest about resuming service between Cody and Salt Lake City are continuing, they’ve encountered some turbulence.

“One hurdle is high fuel prices,” YRA director Aaron Buck said recently.

In addition, he explained that a possible subsidy of $1 million for the summer service “does not reflect negotiations. That’s our best guess,” based on subsidies by Idaho airports, “but we’re not that far in negotiations with Skywest. We’re very much in the talking phase.”

That preliminary $1 million figure was mentioned by Cody City Council member Don Shreve at a recent work session. He serves on CYAIR, or Cody Yellowstone Airport Improvement Services, which primarily raises funds for subsidies to flight options called minimum revenue guarantees (MRG).

The MRG for the summer flights between Cody and Chicago was $192,000, Shreve reported. He described the offering as “a success,” with a seating occupancy of about 72%. “It was fuller out than in,” Shreve added.

The $192,000 was “the maximum out-of-pocket,” Buck said. 

A state grant provided 40% of the MRG, the Park County Travel Council contributed $50,000, and both the city and Park County added to the pot, with the remainder coming from local donations, he said.