A called meeting of the Bristol City Council will be held Monday to consider contributing to a fund set up to help recruit an additional airline service to Tri-Cities Airport in nearby Blountville, Tennessee.
Council will consider a resolution to contribute $75,000 over two years to the fund, according to the meeting agenda.
In December, a privately funded economic development organization announced it was talking to an unnamed airline about bringing passenger air service to two major markets to the airport this year. The airline would be new to the airport, according to BRIDGE, or Building Regional Investment, Development, Growth and Engagement.
In turn, BRIDGE and its partners would provide a minimum guarantee of $2 million over two years to the airline.
The six localities that own the airport were asked to contribute to the fund. The airport is owned by Bristol, Virginia; Bristol, Tennessee; Kingsport; Johnson City; and Sullivan and Washington counties in Tennessee.
The plan, however, hit a snag in early February, when BRIDGE announced that the deal was “off the table,” at least temporarily, because the airline wanted to move forward while it was taking time for the six local governments to get approval for the funding.
BRIDGE Executive Director John Rose said in an email Friday that after the initial discussions, the airline asked for a quicker deadline than they could meet.
“They called back within hours of that deadline passing and asked if we could get this done within 60 days. So, we’re working with a deadline now of April 7,” he said.
So far, the local governments that have committed funds over two years are Sullivan County, which approved $240,000; Kingsport, $250,000; and Washington County, $240,000.
The airport serves Northeast Tennessee, Southwest Virginia, Western North Carolina, and Eastern Kentucky. Delta Air Lines, American Airlines and Allegiant Air currently serve the airport.
According to Bristol’s resolution, the $2 million would be used to support any financial loss the airline might have in the start-up period, which is normally two years. It also states that expanding the airport’s services “creates the opportunity for increased options to patrons and positive economic impact to the city and the region.”
The money would come from the city’s general fund revenues and would be held by the city until needed, the resolution states.
The city staff recommends approval of the funding.
The meeting starts at noon in the council chambers at City Hall, 300 Lee St.