US Says Subsidies for Rural Airline Service to End as Soon as Sunday
The Trump administration has announced that financial support from a federal initiative that supports commercial air service to remote airfields are set to expire as early as this weekend because of the current federal funding lapse.
Federal transportation authorities stated that subsidies under the Essential Air Service initiative are expected to expire as soon as Sunday after the department transferred unrelated funding from the Federal Aviation Administration as an advance.
Transportation officials is currently notifying airline operators about the funding shortfall and informing communities about possible impacts.
Federal authorities allocates approximately $350m in yearly financial support for the program.
In recent months, the administration suggested reducing funding by $308m for the Essential Air Service, which enjoys popularity among GOP legislators because it offers connectivity to rural, largely Republican areas.
During the first presidency of the former president, the White House proposed eliminating the Essential Air Service program – but lawmakers opted to increase financial support instead.
This initiative typically subsidizes two round trips each day using 30- to 50-seat aircraft – or additional frequencies with smaller planes. According to the department that under the program, approximately 65 areas in Alaska receive service and 112 communities across the remaining states and Puerto Rico that otherwise might not receive any airline service.
“Every state across the country will be impacted,” the transportation chief commented during a media briefing, observing the program had support from both parties. “We don't have the money for that initiative going forward.”
