US Says Subsidies for Rural Airline Service to End as Soon as Sunday
Federal officials has announced that funds from a US government program that supports commercial air service to rural airports are set to expire as soon as Sunday because of the ongoing government shutdown.
Federal transportation authorities stated that subsidies under the Essential Air Service initiative are likely to end as soon as Sunday after the department transferred separate financial resources from the Federal Aviation Administration as an temporary measure.
The department is in the process of alerting airline operators about the financial gap and informing communities about possible impacts.
The government provides approximately $350 million in annual funding for the program.
Earlier this year, the White House suggested reducing funding by $308 million for the Essential Air Service, which enjoys popularity among GOP legislators because it provides services to rural, largely Republican areas.
Throughout the first presidency of Donald Trump, the administration suggested terminating the Essential Air Service initiative – but Congress chose to boost financial support instead.
This initiative typically subsidizes two round trips each day using medium-sized planes – or more frequent flights with smaller planes. According to the department that under the program, approximately 65 communities in Alaska receive service and 112 locations across the remaining states and the territory that likely wouldn't have any commercial air connectivity.
“All states nationwide will be impacted,” the transportation chief commented during a press conference, noting the program had support from both parties. “We lack the funding for that initiative moving forward.”