US Says Funding for Rural Airline Service to End as Soon as Sunday
The Trump administration has announced that financial support from a federal initiative that subsidizes airline routes to remote airfields are scheduled to end as soon as Sunday due to the current federal funding lapse.
Federal transportation authorities indicated that financial assistance under the Essential Air Service initiative are expected to expire as soon as Sunday after the department transferred unrelated funding from the Federal Aviation Administration as an temporary measure.
Transportation officials is currently notifying carriers about the financial gap and informing local areas about possible impacts.
Federal authorities allocates approximately $350 million in yearly financial support for the program.
In recent months, the White House suggested reducing financial support by $308 million for the air service program, which enjoys popularity among GOP legislators because it offers connectivity to rural, largely Republican areas.
During the initial term of Donald Trump, the administration suggested terminating the Essential Air Service program – but lawmakers chose to boost funding instead.
The program typically subsidizes 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 the northern state receive service and 112 communities across the remaining states and Puerto Rico that otherwise might not receive any airline service.
“All states nationwide will be impacted,” the transportation chief stated during a media briefing, noting the service had support from both parties. “We don't have the money for that initiative moving forward.”