US Says Subsidies for Rural Airline Service to Expire as Soon as Sunday
The Trump administration has announced that financial support from a federal initiative that subsidizes commercial air service to rural airports 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 early as this weekend after the agency moved unrelated funding from the Federal Aviation Administration as an temporary measure.
The department is in the process of alerting carriers about the financial gap and informing local areas about possible impacts.
The government allocates approximately $350 million in annual funding for the program.
In recent months, the administration suggested reducing funding by $308 million for the Essential Air Service, which enjoys popularity among Republican lawmakers because it provides services to rural, largely Republican areas.
During the first presidency of Donald Trump, the White House suggested terminating the Essential Air Service program â but lawmakers chose to boost funding instead.
The program typically supports two round trips daily using medium-sized planes â or additional frequencies with smaller planes. According to the department that under the program, approximately 65 communities in the northern state have air access and 112 communities across the remaining states and Puerto Rico that likely wouldn't have any commercial air connectivity.
âAll states nationwide will be impacted,â the transportation secretary commented during a press conference, noting the program had support from both parties. âWe don't have the funding for that initiative moving forward.â