Government Announces Subsidies for Rural Airline Service to End as Soon as Sunday
Federal officials has stated that funds from a federal initiative that supports commercial air service to rural airports are set to expire as early as this weekend because of the ongoing government shutdown.
The US transportation department indicated that subsidies under the Essential Air Service initiative are likely to end as soon as Sunday after the agency moved separate financial resources from the Federal Aviation Administration as an advance.
The department is in the process of alerting airline operators about the financial gap and alerting local areas about potential effects.
Federal authorities provides approximately $350 million in yearly financial support for the program.
Earlier this year, the administration proposed cutting funding by $308m for the air service program, which has support among Republican lawmakers because it provides services to rural, largely Republican areas.
During the first presidency of the former president, the administration suggested terminating the Essential Air Service initiative – but Congress chose to boost funding instead.
The program typically subsidizes two round trips each day using 30- to 50-seat aircraft – or more frequent flights with smaller aircraft. According to the department that under the program, approximately 65 areas in the northern state have air access and 112 locations across the remaining states and Puerto Rico that otherwise might not receive any airline service.
“Every state nationwide will feel the effects,” the transportation secretary stated during a press conference, noting the service had bipartisan support. “We lack the money for that initiative moving forward.”
