Government Announces Subsidies for Air Service to Rural Areas to Expire as Early as This Weekend
Federal officials has announced that financial support from a federal initiative that supports commercial air service to remote airfields are set to expire as soon as Sunday due to the current federal funding lapse.
Federal transportation authorities indicated that subsidies under the Essential Air Service program are likely to end as early as this weekend after the agency transferred unrelated funding from the Federal Aviation Administration as an advance.
Transportation officials is currently notifying airline operators about the funding shortfall and alerting communities about possible impacts.
The government provides approximately $350m in annual funding for the program.
Earlier this year, the White House proposed cutting financial support by $308 million 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 administration proposed eliminating the Essential Air Service initiative – but Congress opted to increase financial support instead.
The program typically subsidizes two round trips each day using medium-sized planes – or additional frequencies with smaller aircraft. According to the department that under the program, approximately 65 areas in Alaska receive service and 112 communities across the other 49 states and the territory that likely wouldn't have any airline service.
“All states across the country will be impacted,” the transportation chief commented during a press conference, observing the program had support from both parties. “We don't have the money for that initiative moving forward.”
