NEWPORT NEWS, Va. (WAVY) — Newport News Williamsburg Airport should transition away from offering commercial passenger service and instead look at becoming a leader in advanced aviation and research, according to aviation consultants.
The finding, part of the Hampton Roads Air Study released Thursday, is one of 10 recommendations that aims to help the region better harness its aviation assets to attract new business and promote economic vitality.
The report funded through a Go Virginia grant, paid special attention to Peninsula Airport Commission. Newport News Williamsburg Airport, also known as Patrick Henry Field (PHF), has been hemorrhaging money for several years as commercial air traffic there has continued to dwindle.
Taxpayers of Newport News and Hampton could soon be on the hook to keep the airport afloat, but the report concluded discontinuing commercial air service could lead to significant cost reductions.
So far, airport leadership continues to indicate it doesn’t want to fly down that path.
“Authorities face tough decisions to prevent PHF from becoming a financial
burden on Newport News,” states the report, authored by USI Inc. and Swelbar Associates. “Transitioning from traditional commercial air service to nontraditional sectors, such as advanced air mobility (AAM), is challenging but essential for long-term viability.”
The report digs deep into the financials of the nearly 80-year-old airport.
PHF sits on 1,800 acres straddling Newport News’ city limits with York County and has racked up losses exceeding $4.2 million over one 17-month period in 2022 and 2023.
Only American Airlines continues to provide commercial service at the terminal and the report found the rates they are being charged fall short of what airport needs to maintain their operation to the tune of $6 million in Fiscal Year 2023.
Industry wide, the smaller type of planes American is flying are disappearing, according to the report, having a “profound impact on airports like PHF, which may struggle to maintain commercial service without these smaller jets.”
The consultants called the need to make strategic changes in the airports operation “urgent.” They find with regional support, a turnaround could be had.
“Repurposing PHF to align with current trends in unmanned flight and advanced air mobility
could transform it into a vital economic engine for the region,” the report said. “This strategic shift would not only address the current financial deficits, but also leverage PHF’s infrastructure to support future growth in aviation technology sectors.”
However, Lindsey Carney Smith, chair of the Peninsula Airport Commission, said the airport has no intention of telling American Airlines to leave.
“The PAC and City Council have discussed efforts to improve the airport’s profitability and protect its long-term economic health,” Carney Smith said, in a statement. “While the results of the study are informative, the PAC and City Council will continue to collaborate on sustainable operations in the commercial and non-traditional aviation market in order to implement creative and strategic commercial development strategies and attract diverse aviation opportunities and aeronautical industries. The PAC intends for PHF to serve as a driver of economic development for the region.”
Mayor Phillip Jones also released a statement.
“The City of Newport News and the Peninsula Airport Commission (PAC) would like to thank the Hampton Roads Alliance for commissioning the Hampton Roads Regional Aviation, Aerospace and Unmanned Systems assessment to help position our region’s aviation, aerospace, and unmanned systems industry,” Jones said. “Patrick Henry Field (PHF) is a valuable airport asset that will make critical contributions to that industry.”
Continue to check WAVY.com for updates.
