Government Announces Funding for Air Service to Rural Areas to End as Soon as Sunday

The Trump administration has stated that financial support from a federal initiative that subsidizes airline routes to remote airfields are set to expire as soon as Sunday because of the current federal funding lapse.

Federal transportation authorities stated that subsidies under the Essential Air Service initiative are expected to expire as early as this weekend after the department transferred separate financial resources from the FAA as an advance.

Transportation officials is currently notifying airline operators about the financial gap and alerting communities about potential effects.

Federal authorities allocates approximately $350m in yearly financial support for the program.

In recent months, the White House suggested reducing financial support by $308 million for the Essential Air Service, which has support among GOP legislators because it offers connectivity to rural, largely Republican areas.

During the first presidency of the former president, the White House proposed eliminating the Essential Air Service program – but Congress opted to increase financial support instead.

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

“All states across the country will feel the effects,” the transportation chief stated during a media briefing, noting the service had bipartisan support. “We don't have the money for that program going forward.”

Charles Matthews
Charles Matthews

A seasoned business strategist with over 15 years of experience in digital innovation and enterprise consulting.