Government Announces Subsidies for Air Service to Rural Areas to End as Early as This Weekend
Federal officials has announced that financial support from a federal initiative that supports airline routes to remote airfields are set to expire as early as this weekend due to the current federal funding lapse.
The US transportation department indicated that subsidies under the Essential Air Service initiative are likely to end as early as this weekend after the agency transferred separate financial resources from the Federal Aviation Administration as an temporary measure.
Transportation officials is in the process of alerting airline operators about the funding shortfall and alerting communities about potential effects.
The government allocates approximately $350m in annual funding for the program.
In recent months, 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 initial term of the former president, the White House suggested terminating the Essential Air Service program – but Congress opted to increase financial support instead.
The program typically subsidizes two return flights each day using medium-sized planes – or additional frequencies with smaller aircraft. Officials report that under the program, approximately 65 communities in the northern state receive service and 112 locations across the remaining 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, noting the program had support from both parties. “We don't have the money for that initiative moving forward.”