US Says Funding for Rural Airline Service to Expire as Soon as Sunday

The Trump administration has stated that financial support from a federal initiative that supports commercial air service to rural airports are set to expire as early as this weekend because of the current federal funding lapse.

Federal transportation authorities stated that subsidies under the Essential Air Service program are likely to end as early as this weekend after the department transferred separate financial resources from the Federal Aviation Administration as an temporary measure.

The department is currently notifying carriers about the financial gap and alerting communities about possible impacts.

Federal authorities provides approximately $350 million in yearly financial support for the program.

Earlier this year, the administration proposed cutting financial support by $308 million for the air service program, which enjoys popularity among Republican lawmakers because it offers connectivity to predominantly Republican rural regions.

Throughout the initial term of the former president, the administration proposed eliminating the Essential Air Service initiative – but Congress chose to boost funding instead.

The program typically subsidizes two return flights each day using 30- to 50-seat aircraft – or additional frequencies with smaller planes. According to the department that under the program, approximately 65 communities in the northern state receive service and 112 locations across the remaining states and the territory that otherwise might not receive any commercial air connectivity.

β€œAll states nationwide will feel the effects,” the transportation chief stated during a media briefing, observing the program had bipartisan support. β€œWe don't have the money for that program going forward.”

Ronald Bray
Ronald Bray

A tech enthusiast and business strategist with over a decade of experience in digital transformation and startup consulting.