Airline Incentives Approved for Atlantic City Airport

The South Jersey Transportation Authority has approved financial incentives to attract major airlines to little-used Atlantic City International Airport. The move comes as Air Canada has announced summer service to the airport.

A program approved the South Jersey Transportation Authority will give airlines flying to Atlantic City International Airport breaks on landing fees, fuel sales and airport rental fees for one or two years if they institute domestic or international flights.

Airlines would also receive up to $60,000 in marketing support for domestic flights and as much as $120,000 for international routes.

The move is the latest attempt by the authority—which owns the airport—to try and bring more service to the under-utilized airport in Galloway Township New Jersey.

It comes after United Airlines—which received similar incentives—stopped service to the airport after only eight months last year saying the flights were unprofitable, but also comes as Air Canada has announced it will start summer service to the resort from Toronto this year.

Air Canada is negotiating a three-year deal that would include $705,000 in yearly subsidies from the New Jersey Casino Reinvestment Development Authority. It was unclear if the airline could also take advantage of the transportation authority’s subsidies.

Developing the airport and expanding flights are seen as key points in repositioning Atlantic City as a full-fledge resort in the face of shrinking casino revenues.

Currently, Atlantic City International is served by only one carrier, Spirit Airlines. In 2014, the airport handled a total of 1.2 million passengers, up nearly 7 percent over the 1.1 million passengers in 2013, according to reports.

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