Continuing efforts to return commercial air service to Chico might be impacted by the effects of the coronavirus pandemic on the airline industry.
Industry has taken a massive hit due to the corornavirus pandemic.
Limited flights... and those that ar* in the sky are almost empty.
Action news now anchor julia yarbough shows us how what's happening on the national stage -- could impact plans for*loca* growth.
One of the nation's largest airlines, delta...this week reported a 534 million dollar loss for the first quarter.
The carrier anticipates the summer travel season plummeting 90% compared to this time last year the economic crunch across the industry, could now have a ripple effect on growth plans for chico, and efforts to return commercial air service to the region.
I spoke with chico public works director erik gustafason...abo ut coronavirus and the city's vision for growth.
((sot)) erik gustafson/city of chico public works it is a big concern for us, the coronavirus has caused demand for air travel to fall to zero" "our hope is it recovers after this big downturn and pause, that in a couple of years we'll be back on track and hopefully attract commercial air service."
The federal government recently awarded chico a $500-hundred thousand dollars in a small commercial air service development grant... or scasd.
The city has four years to use those funds, which will be part of a "revenue guarantee bank".
That's essentially funds set aisde to assure a carrier choosing to establish air service from chico, the company will not lose money.
The coronavirus pandemic... is adding another layer of uncertainty and challenges to the process of securing an interested carrier.
"we've just sort of given airliens the space they need to figure out their business models and plans through this pandemic, but we hope to pick up converations in the coming months when this is over" gustafson says realisitically, it could be two or even three years before we might see a commercial deal -- but they may be able to get an extension on that grant money.# plans to about double a local hospital are coming together fast -- we have a look at the progress, ahead.
And -- christina vitale is live in paradise where plans for a new log yard have some people in town on edge.
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Nick Hofland is an Air Force Veteran and devoted family man
