US Says Subsidies for Air Service to Rural Areas to Expire as Soon as Sunday
Federal officials has announced that financial support from a US government program 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 indicated that subsidies under the Essential Air Service program are expected to expire as soon as Sunday after the agency transferred unrelated funding from the Federal Aviation Administration as an temporary measure.
Transportation officials is currently notifying carriers about the funding shortfall and alerting local areas about possible impacts.
Federal authorities provides approximately $350m in yearly financial support for the program.
Earlier this year, the administration suggested reducing financial support by $308 million for the air service program, which enjoys popularity among Republican lawmakers because it offers connectivity to rural, largely Republican areas.
Throughout the first presidency of Donald Trump, the White House suggested terminating the Essential Air Service program – but lawmakers chose to boost funding instead.
The program typically supports two round trips daily using 30- to 50-seat aircraft – or more frequent flights with smaller planes. According to the department that under the program, approximately 65 areas in Alaska receive service and 112 communities across the other 49 states and Puerto Rico that likely wouldn't have any airline service.
“Every state nationwide will be impacted,” the transportation chief commented during a media briefing, noting the service had bipartisan support. “We don't have the money for that initiative moving forward.”
