Government Announces Subsidies for Rural Airline Service to Expire as Early as This Weekend
Federal officials has announced that financial support from a US government program that subsidizes airline routes to rural airports are set to expire as soon as Sunday because of the current federal funding lapse.
The US transportation department indicated that financial assistance under the Essential Air Service initiative are likely to end as early as this weekend after the agency moved unrelated funding from the FAA as an advance.
The department is in the process of alerting airline operators about the financial gap and informing local areas about potential effects.
Federal authorities allocates approximately $350m in annual funding for the program.
In recent months, the White House suggested reducing funding by $308m for the Essential Air Service, which has support among GOP legislators because it provides services to rural, largely Republican areas.
During the initial term of Donald Trump, the White House suggested terminating the Essential Air Service initiative – but lawmakers opted to increase funding instead.
This initiative typically subsidizes two round trips daily using 30- to 50-seat aircraft – or more frequent flights with smaller aircraft. Officials report that under the program, approximately 65 communities in Alaska have air access and 112 locations across the remaining states and Puerto Rico that otherwise might not receive any airline service.
“All states nationwide will feel the effects,” the transportation chief stated during a press conference, noting the program had support from both parties. “We lack the funding for that program moving forward.”
