Air Service Incentive Program

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ASIP5 AIR SERVICE INCENTIVE PROGRAM

MIAMI INTERNATIONAL AIRPORT THE MIA AIR SERVICE INCENTIVE PROGRAM

INTRODUCTION: The Miami-Dade Aviation Department (MDAD), op- destination (city) from MIA will qualify for 100% erator of Miami International Airport (MIA), is pleased abatement of landing fees on the new service, for a to offer ASIP5, the latest and most dynamic of its air 12-month Promotional Period. The service must be service incentive programs. The MIA ASIP5 comple- operated for 12 consecutive months. The incen- ments the strategies and objectives of the airport’s tive is available for any domestic U.S or Cana- air service development efforts while encouraging in- dian city pair regardless of present service levels cumbent carriers at MIA to consider expansion and to and from MIA by the applicant carrier or an- new market development. other carrier on that specific route.

MIA OBJECTIVES: 2. New International Passenger Air Service: A. Any air carrier establishing scheduled, year-round • Stimulate domestic and international passenger passenger service to an international destination (city air service at MIA and / or airport) not currently served from MIA by any • Stimulate international freighter service to MIA carrier, will qualify for 100% abatement of landing • Increase non-aeronautical revenues at MIA fees on the qualifying service, for a 12-month Pro- • Reduce costs per enplaned passenger at MIA motional Period. Any secondary airports within the same destination will be deemed a new interna- ASIP5 PROGRAM COMPONENTS: tional route and will qualify for the incentive. For example, a carrier commencing London-Gatwick The MIA ASIP5 offers features that include: service will qualify for the incentive even though • An incentive for domestic passenger routes and MIA is already served from London-Heathrow. added frequencies from any US and Canadian The service must be operated for 12 consecutive city/market. months. • An incentive for new international routes presently • Following service commencement, and continu- not served from MIA and for international routes ing for a 24 month period thereafter, any ad- from secondary airports from an international ditional frequencies added to the new pas- destination that is presently served from MIA. senger route will qualify for the incentive for a • Cooperative advertising programs providing full 12-month term effective upon the date the matching funds to promote new international additional frequencies commence. If an air car- routes. rier begins a service with a frequency of three • Incentives for new international passenger routes times per week, and subsequently adds a arriving at designated off-peak hours at MIA’s fourth or any additional frequencies, the lat- Central and South Terminals. ter would qualify for a full 12 month incentive • Incentives for new scheduled freighter services from the date(s) of commencement. from markets in Africa, Asia, Europe and the Middle East/Gulf. • A carrier choosing to arrive at MIA during desig- • A separate incentive package for new passenger nated off-peak hours at the Central or South routes initiated from Africa, Asia and Middle Terminals at MIA will also receive an additional East/Gulf markets. 12-month abatement of landing fees on the qualifying service. The service must be operated for 12 The MIA ASIP5 is a three-year program effective: consecutive months. Arrival times for qualification October 1, 2015. ASIP5 officially replaces the pre- for this additional benefit are: vious MIA incentive program and all offerings as contained within ASIP4. • Central Terminal – Concourse E Commencing 0400 to 1200 hours daily • Central Terminal – Concourse F QUALIFYING PASSENGER FLIGHTS Commencing 0400 to 1330 hours daily • South Terminal - Commencing 1. New Domestic Passenger Air Service: 2300 to 0400 hours Any air carrier establishing scheduled, year-round and from 0900 to 1300 hours daily passenger service to any U.S. or Canadian

MIAMI-DADE AVIATION DEPARTMENT B. Any carrier establishing scheduled, year-round QUALIFYING CARGO FLIGHTS passenger service to an international destination (city and / or airport) not currently served from MIA by any A. Any carrier establishing scheduled, year-round carrier, will also be offered the opportunity to par- cargo freighter service from Africa, Asia, Europe, ticipate in a matching funds advertising campaign to or the Middle East/Gulf Region on a cargo route assist in promoting the new route. The Miami-Dade not currently served by an all-cargo freighter to Aviation Department (MDAD) will offer the carrier up MIA will qualify for a 100% abatement of landing fees to $50,000, to be matched with an equal amount for a 12-month Promotional Period. The qualifying from the carrier to establish a mutually agreed upon service must be operated for 12 consecutive months. advertising campaign. There will be no direct reim- Originating flight numbers and aircraft (same- bursements to the carrier. Reimbursements will plane service) must remain the same between only be made through direct payments to agreed- the originating city and Miami during the entire upon media or advertising sources, and only via 12-month period. MIA’s standard invoice and payment processes for such services. The collaborative advertising • Following service commencement, and continuing campaign provided under this incentive will begin for a 24 month period thereafter, any additional at commencement of the qualifying new route frequencies added to the new cargo route will and will conclude at the end of the 12-month qualify for the 100% incentive for a full 12-month benefit period. term effective from the date the additional frequencies commence.

MIAMI-DADE AVIATION DEPARTMENT B. Any carrier establishing scheduled year-round QUALIFYING AFRICA, ASIA & MIDDLE EAST/GULF freighter service from Africa, Europe, or the Mid- PASSENGER FLIGHTS dle East/Gulf Region on a cargo route not cur- A. Any air carrier establishing scheduled, year- rently served by an all-cargo freighter to MIA round passenger service to an international destina will also be offered the opportunity to participate - in a matching funds advertising campaign to assist tion (city and/or airport) not currently served from MIA in promoting the new route. The Miami-Dade Avia- by any carrier, in Africa, Asia and the Middle East/Gulf tion Department (MDAD) will offer the carrier up to will qualify for 100% abatement of landing fees on $25,000, to be matched with an equal amount from the new service, for a 24-month Promotional Period. the carrier to establish a mutually agreed upon ad- The service must be operated for 12 consecutive vertising campaign. There will be no direct reim- months and will then qualify for an additional bursements to the carrier. Reimbursements 12-consecutive month period for a total of 24 will only be made through direct payments to months of benefit. Each 12-month period of ser- agreed-upon media or advertising sources, and vice will be evaluated for compliance under the only via MIA’s standard invoice and payment pro- terms of the program. cesses for such services. The collaborative ad- • Following service commencement, and continuing vertising campaign provided under this incentive for a 24-month period thereafter, any additional will begin at commencement of the qualifying frequencies added to the new passenger route new route and will conclude at the end of the will qualify for the incentive for a full 24-month 12-month benefit period. term effective upon the date the additional frequencies commence. ASIP5 AIR SERVICE INCENTIVE PROGRAM B. Any carrier establishing new, scheduled, year- vided under this incentive will begin upon round passenger service to an international commencement of the qualifying new route destination (city and/or airport) not currently and will conclude at the end of a 12-month served from MIA by any carrier, in Africa, Asia period. The second-year campaign will com- and the Middle East/ Gulf will also be offered the mence at the on-set of that service period opportunity to participate in a matching funds and may continue through the full second advertising campaign to assist in promoting the year of service commitment. new route. The Miami-Dade Aviation Depart- ment (MDAD) will offer up to $100,000, per • A carrier choosing to arrive at MIA during desig- year, for two separate years, to be matched with nated off-peak hours at the Central or South an equal amount from the carrier to establish Terminals at MIA will also receive an additional a mutually agreed upon advertising campaign. $100,000, per year, for two separate years, to be The new service associated with the Mar- matched with an equal amount from the carrier keting Support Incentive must operate for to establish a mutually agreed upon advertising 12 consecutive months, and will then quali- campaign. Arrival times for qualification for this fy for the second-year advertising funds al- additional benefit are: location with MDAD. There will be no direct • Central Terminal – Concourse E - Commencing reimbursements to the carrier. Reimburse- 0400 to 1200 hours daily ments will only be made through direct pay- • Central Terminal – Concourse F - Commencing ments to agreed-upon media or advertising 0400 to 1330 hours daily sources, and only via MIA’s standard invoice • South Terminal – Commencing 2300 to 0400 and payment processes for such services. hours and from 0900 to 1300 hours daily The collaborative advertising campaign pro-

MIAMI-DADE AVIATION DEPARTMENT FUNDING THE PROGRAM:

To mitigate any adverse effects to landing fees paid IMPORTANT: An airline participating in ASIP5 by other MIA air carriers, MDAD will fund the ASIP5 must report any changes to the number of fre- through the airport’s Retainage Sub-account Im- quencies, aircraft type and/or series at least provement Fund to offset the landing fees waived. thirty (30) days in advance of any changes dur- Total incentive program funding will be capped at $3 ing the entire Promotional Period. million within each year, based on a first-come, first- served basis, until each annual cap is exhausted. AIRLINE COMPLIANCE:

AIRLINE COMMITMENTS: MDAD will conduct an ASIP5 Review Committee audit of the air carrier’s compliance with the terms of The airline must commit to the following: the program on a monthly basis during the entire Pro- motional Period. • Operate the qualifying passenger or cargo flight(s) throughout the Promotional Period. DURATION OF AIR SERVICE An air carrier that voluntarily suspends or termi- INCENTIVE PROGRAM: nates such service before the end of the Promo- tional Period will be required to pay any discounts Except as stated below, the ASIP5 duration is three received under ASIP5. To meet this ASIP5 term (3) years from the effective date. After this three-year requirement, an air carrier will not be permitted period, MDAD will evaluate the program and may an- to substitute one qualifying flight for another. nounce any future incentive programs. Airlines con- sidering participation may commence at any time • Provide MDAD with a U.S. bank drawn ir- during the program’s three-year duration. Once an air revocable letter of credit, company check service qualifies under the ASIP5, it is assured the or bank wire transfer for the total estimated benefit during the entire Promotional Period, even amount of landing fees to be abated for each if the time span extends beyond the program’s du- qualifying flight during the Promotional Period ration. MDAD reserves the right to discontinue the and, file the financial guarantee with MDAD ASIP5 entirely, or substitute a new program during at least 30 days prior to the commencement of the three year period of offer, which will not affect any service. airline already participating in ASIP5. æ Financial guarantees not submitted and approved by the MDAD Finance Division APPLICATION PROCESS: on time will defer benefit commencement to the day of approval of the financial instru- Air carriers seeking to participate in ASIP5 should ment, not the day of service initiation. complete the Air Service Incentive Program application. Applications should be submitted forty- • Offer service resulting in a net increase five (45) days prior to commencement of the qualify- in the air carrier’s total number of flights ing air service. The carrier will be advised in writing from MIA to the city pair, as compared to the upon approval of the incentives. same month of the previous year. The air carrier must maintain such a net increase during the SUBMIT ELECTRONICALLY TO: Promotional Period and may not discontinue a [email protected] non-qualifying service (flight) to initiate a qualifying service (flight) to the same city pair. For OR VIA FAX TO: 305-876-7398 example, an air carrier that discontinues a non-qualifying flight to LaGuardia Airport in OR HAND-DELIVER TO: New York does not qualify for ASIP5 with a Miami-Dade Aviation Department new flight to JFK or Newark International Air- Marketing Division ports. The air carrier may however, change Miami International Airport the number of frequencies, and the type and 5600 NW 36th Street, Suite 515 series of an aircraft operating a qualifying Miami, Florida service. 305.876.7862 For courier service delivery, use 33122 as the zip code to the above address.

ALL SUBMITTALS ARE SUBJECT TO AUDIT BY MIAMI-DADE COUNTY ASIP5 AIR SERVICE INCENTIVE PROGRAM APPLICATION ASIP5 FORM AIR SERVICE INCENTIVE PROGRAM

AIRLINE:

ADDRESS:

CITY / STATE / ZIP CODE:

CONTACT PERSON NAME / TITLE:

PHONE:

FAX:

EMAIL:

ORIGIN OF ASIP FLIGHT:

CHECK ALL APPLICABLE:  YEAR ROUND PASSENGER FREIGHTER

Aircraft Days of Operation Effective Date Arrival Flight # MIA Arrival Time Type & Series (1 thru 7)

AIRLINES ARE REQUIRED TO REPORT ANY CHANGES OF AIRCRAFT TYPE AND/OR SERIES AT LEAST 30 DAYS IN ADVANCE DURING THE INCENTIVE PERIOD. CONTACT THE MDAD MARKETING DIVISION AT 305-876-7862 FOR NOTIFICATION.

FOR MDAD USE ONLY

EVALUATED BY: ______DATE: ______

COMMENTS: ______

______

 APPROVED  NOT APPROVED

SIGNED BY : ______DATE: ______

Aviation Director / Deputy Aviation Director MIAMI-DADE COUNTY BOARD OF COUNTY COMMISSIONERS

Carlos A. Giménez Barbara J. Jordan Xavier L. Suarez Esteban Bovo, Jr. Mayor District 1 District 7 District 13 Jean Monestime Daniella Levine Cava District 2 District 8 Audrey M. Edmonson Dennis C. Moss Harvey Ruvin District 3 District 9 Clerk of Courts

Jean Monestime Sally A. Heyman Senator Javier D. Souto Abigail Price-Williams District 4 District 10 County Attorney Chairman Bruno A. Barreiro Juan C. Zapata Emilio T. González Esteban Bovo, Jr. District 5 District 11 Aviation Director Vice Chairman Rebeca Sosa José “Pepe” Díaz District 6 District 12

Miami-Dade County provides equal access and equal opportunity in employment and services and does not discriminate on the basis of disability. “It is the policy of Miami-Dade County to comply with all of the requirements of the Americans with Disabilities Act.”

MIAMI-DADE AVIATION DEPARTMENT — MARKETING DIVISION T 305.876.7862 • F 305.876.7398 • [email protected] www.miami-airport.com iflymia

Our vision: MIA will grow from a recognized hemispheric hub to a global airport of choice that offers customers a world-class experience and an expanded route network with direct passenger and cargo access to all world regions.