Virgin America is being courted by the Sacramento County Board of Supervisors to begin flying between Sacramento International Airport and Las Vegas. The board has approved an incentive package of $400,000 to try to attract the low-fare airline.
The airline proposes three daily round-trip flights between Sacramento and Los Angeles International Airport using Airbus A320-200 aircraft, which seat 149 passengers.
However because the airline deems the county airport system’s level of economic incentive is significantly below what is required to offset the initial business risks associated with starting service in Sacramento, Virgin America asked for an enhancement to the incentive program. The base level was subsequently increased to $150,000 in marketing and operational credits, up from $50,000, and to offer an additional $250,000 using Merchant Association Program funds.