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

The Trump administration has stated that financial support from a US government program that supports airline routes to rural airports are scheduled to end as early as this weekend because of the current federal funding lapse.

Federal transportation authorities indicated that financial assistance under the Essential Air Service program are likely to end as early as this weekend after the agency moved unrelated funding from the FAA as an advance.

The department is currently notifying carriers about the funding shortfall and alerting communities about potential effects.

The government allocates approximately $350 million in annual funding for the program.

In recent months, the White House suggested reducing financial support by $308m for the air service program, which enjoys popularity among GOP legislators because it provides services to rural, largely Republican areas.

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

The program typically supports two round trips each day 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 airline service.

“Every state across the country will be impacted,” the transportation chief stated during a media briefing, noting the program had bipartisan support. “We lack the money for that program moving forward.”

Thomas Wilson
Thomas Wilson

A seasoned entrepreneur and startup advisor with over a decade of experience in the UK tech scene, passionate about mentoring new founders.