Government Announces Subsidies for Air Service to Rural Areas to End as Soon as Sunday
The Trump administration has announced that funds from a federal initiative that subsidizes commercial air service to rural airports are set to expire as soon as Sunday due to the current federal funding lapse.
The US transportation department stated that financial assistance under the Essential Air Service program are likely to end as early as this weekend after the agency transferred separate financial resources from the Federal Aviation Administration as an advance.
The department is in the process of alerting carriers about the financial gap and informing local areas about possible impacts.
The government allocates approximately $350m in annual funding for the program.
In recent months, the administration proposed cutting funding by $308m for the Essential Air Service, which enjoys popularity among GOP legislators because it provides services to rural, largely Republican areas.
Throughout the initial term of the former president, the administration suggested terminating the Essential Air Service initiative – but lawmakers opted to increase funding instead.
The program typically subsidizes two round trips daily using 30- to 50-seat aircraft – or additional frequencies with smaller aircraft. Officials report that under the program, approximately 65 areas in the northern state receive service and 112 locations across the other 49 states and Puerto Rico that likely wouldn't have any airline service.
“All states across the country will feel the effects,” the transportation secretary stated during a media briefing, observing the service had bipartisan support. “We don't have the funding for that initiative going forward.”
