US Says Subsidies for Rural Airline Service to Expire as Early as This Weekend

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 financial assistance under the Essential Air Service initiative are likely to end as soon as Sunday after the agency transferred separate financial resources from the Federal Aviation Administration as an advance.

Transportation officials is currently notifying airline operators about the financial gap and informing communities about possible impacts.

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

Earlier this year, the White House suggested reducing financial support by $308 million for the air service program, which has support among GOP legislators because it provides services to predominantly Republican rural regions.

During the initial term of Donald Trump, the White House proposed eliminating the Essential Air Service program – but Congress chose to boost financial support instead.

The program typically subsidizes two return flights daily 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 Alaska have air access and 112 communities across the remaining states and Puerto Rico that likely wouldn't have any commercial air connectivity.

“Every state nationwide will be impacted,” the transportation chief stated during a media briefing, observing the service had support from both parties. “We don't have the money for that program moving forward.”

Angel Fernandez
Angel Fernandez

Award-winning journalist with a decade of experience covering UK affairs and global events.