US Says Subsidies for Air Service to Rural Areas to Expire as Soon as Sunday
Federal officials has stated that funds from a federal initiative that subsidizes airline routes to rural airports are set to expire as soon as Sunday due to the current federal funding lapse.
Federal transportation authorities stated that financial assistance under the Essential Air Service initiative are expected to expire as early as this weekend after the department transferred unrelated funding from the FAA as an advance.
Transportation officials is in the process of alerting carriers about the financial gap and informing communities about potential effects.
Federal authorities provides approximately $350 million in yearly financial support for the program.
In recent months, the administration proposed cutting financial support by $308 million for the air service program, which enjoys popularity among Republican lawmakers because it provides services to predominantly Republican rural regions.
During the first presidency of Donald Trump, the White House proposed eliminating the Essential Air Service program – but lawmakers chose to boost funding instead.
The program typically subsidizes two return flights daily using medium-sized planes – or additional frequencies with smaller planes. According to the department that under the program, approximately 65 areas in the northern state have air access and 112 locations across the other 49 states and Puerto Rico that otherwise might not receive any airline service.
“Every state nationwide will be impacted,” the transportation secretary stated during a press conference, noting the service had bipartisan support. “We don't have the funding for that initiative going forward.”