The award announced Tuesday is one of 33 nationwide in the U.S. Department of Transportation's Small Community Air Service Development Program.
The money supplements a 2009 grant meant for a study of passenger demand at the southern Utah airport. The new money covers landing fee waivers and a marketing program to recruit air service to Denver.
The federal grant program began in 2002 and has since helped 300 communities overcome the challenges of offering local air service.
U.S. Transportation Secretary Ray LaHood praised local air service, saying it provides a critical link between small communities and the nation's larger air transportation system.
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