Nevada hopes luring foreign flights brings tourism dollars

RENO — Nevada tourism leaders are considering establishing a statewide air service development group that would work with airlines to solve some of the wide-ranging challenges communities in the state have recruiting new flights.

In an air service round-table panel conducted on the final day of the three-day Governor’s Conference on Tourism at the Atlantis hotel-casino, Lt. Gov. Brian Krolicki said he envisions a business-centered committee with representatives from state government agencies to present a united front to persuade airlines to add flights to the state’s airports.

The Las Vegas Convention and Visitors Authority and McCarran International Airport already collaborate to recruit airlines to Southern Nevada, but the group envisioned by Krolicki and the Nevada Tourism Commission would include representatives from Reno-Tahoe International Airport and some of the state’s larger rural airports.

Recruitment of airlines is viewed as an important component to growing tourism and economic development. The conference, which ended Wednesday, emphasized increasing visitation from international destinations. Representatives from China, South Korea, Brazil and Mexico conducted sessions on marketing to foreign travelers.

Krolicki believes a statewide air development working group should include representatives from the state Tourism Commission, the Governor’s Office of Economic Development, state airports and representatives from the tourism and business communities.

The challenges faced by the state’s airports are wide-ranging.

For McCarran, the effort is focused on luring international flights to increase the percentage of visitors from 20 percent to 30 percent international because foreign travelers stay longer and spend more than their domestic counterparts.

Reno has a different challenge, rebuilding lost domestic flights resulting from airlines working to increase profitability through controlled capacity. Southwest Airlines, the dominant air carrier at Reno-Tahoe International, reduced flights to and from Reno from 42 to 26 a day, eliminating flights to Boise, Idaho; Oakland, Calif.; Portland, Ore.; Seattle; Salt Lake City; Ontario, Calif., and San Jose, Calif.

For rural airports, such as Elko Regional Airport, the challenge is getting any kind of air service. Because airlines are using larger aircraft to increase profitability, they’re abandoning cities like Elko.

Elko Regional Airport Director Mark Gibbs said Skywest Airlines offered flights to Reno from 1997 to 2006, and Scenic Airlines flew the route in 2005 and 2006. Now, Elko’s only scheduled commercial flight is to Salt Lake City on Skywest on 30-seat propeller planes. Gibbs fears that Skywest, which partners as a commuter connection for Delta Air Lines, will upgrade its fleet to planes that won’t be financially lucrative to maintain.

Elko has lost six doctors since Skywest abandoned the Reno route, and health care has declined because doctors no longer commute to Elko to see patients.

Reno’s loss of Southwest flights was part of a 34 percent decline in traffic there in the past eight years. Marily Mora, president and CEO of the Reno-Tahoe Airport Authority, said Reno has no nonstop service to the East Coast and has limited flights to Chicago’s two major airports, Houston and Dallas-Fort Worth International Airport.

Mora said Reno’s wish list includes flights to Washington, D.C., Atlanta and more flights to the Los Angeles basin.

Reno did get some good news recently when Mexican discount carrier Volaris announced plans for twice-weekly flights to and from Guadalajara.

Compared with Reno and Elko, Las Vegas’ air service picture looks pretty good.

However, Mark Suman, air service development director for the Clark County Aviation Department, said airlines are demanding more from their airport partners to maintain service.

Since July 2011, McCarran has waived $5.8 million in airline landing fees as an incentive to keep flights and expand schedules. Suman said there’s no way to determine whether the incentive worked or whether airlines would have stayed anyway.

Las Vegas, which also is receiving a new nonstop Volaris flight from Cancún later this year, is still working to increase nonstop service to and from Asia.

Krolicki said he believes China Southern Airlines might be a prime candidate for being the first carrier to offer a nonstop route to Las Vegas from China.

Contact Richard N. Velotta at rvelotta@reviewjournal.com or 702-477-3893. Find him on Twitter: @RickVelotta.