Is Redway a seperate entity and subrecipient of the grant or part of the city?
I did a little more reading on this, these type of public/private arrangements are interesting to me. I found this all out on my lunch break, Dean could’ve easily done the research if he cared.
It’s a separate entity. The local government gave $3m to the airport, and the airport offered the $3m out there as a revenue guarantee. An airline consultant formed Fly Next LLC to house the airline, they leased some planes, hired some staff, and Red Way was born.
They signed a contract with the airport where they are allowed to dip into the $3m to make up for losses at up to $30k per flight. They started out running 28 flights a week which seems ridiculous to me. I have no idea how much they are losing per flight but if it’s $30k they would burn through the $3m in less than a month.