US Says Subsidies for Rural Airline Service to Expire as Early as This Weekend
The Trump administration has announced that funds from a federal initiative that supports airline routes to remote airfields are set to expire as soon as Sunday due to the ongoing government shutdown.
Federal transportation authorities indicated that subsidies under the Essential Air Service initiative are expected to expire as early as this weekend after the department moved separate financial resources from the Federal Aviation Administration as an temporary measure.
Transportation officials is currently notifying airline operators about the financial gap and informing communities about possible impacts.
Federal authorities allocates approximately $350m in annual funding for the program.
Earlier this year, the administration suggested reducing funding by $308 million for the air service program, which has support among GOP legislators because it offers connectivity to rural, largely Republican areas.
During the initial term of Donald Trump, the White House suggested terminating the Essential Air Service program – but lawmakers opted to increase financial support instead.
This initiative typically subsidizes two return flights daily 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 other 49 states and the territory that likely wouldn't have any commercial air connectivity.
“All states across the country will be impacted,” the transportation chief stated during a press conference, noting the service had bipartisan support. “We don't have the money for that program moving forward.”
