Government Announces Subsidies for Rural Airline Service to End as Soon as Sunday
The Trump administration has stated that funds from a federal initiative that subsidizes airline routes to remote airfields are set to expire as soon as Sunday due to the current federal funding lapse.
The US transportation department stated that subsidies under the Essential Air Service initiative are likely to end as soon as Sunday after the department transferred unrelated funding from the FAA as an temporary measure.
The department is in the process of alerting airline operators about the funding shortfall and alerting communities about potential effects.
Federal authorities allocates approximately $350m in yearly financial support for the program.
Earlier this year, the White House proposed cutting funding by $308m for the air service program, which enjoys popularity among GOP legislators because it provides services to predominantly Republican rural regions.
Throughout the initial term of Donald Trump, the administration proposed eliminating the Essential Air Service initiative – but lawmakers chose to boost financial support instead.
The program typically supports two return flights daily using 30- to 50-seat aircraft – or more frequent flights with smaller planes. Officials report that under the program, approximately 65 areas in Alaska 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 commented during a press conference, noting the service had support from both parties. “We don't have the funding for that program moving forward.”
