Essential Air Service - Controversy

Controversy

Critics point out that some subsidized airports are less than an hour's drive from an unsubsidized airport, and question the economic efficiency of the service. According to a 2006 New York Times article on the program the subsidy per passenger, averaged across the entire program excluding Alaska, is approximately $74, and much higher on some particularly poorly-patronized flights. Subsidies are as high as $801 per passenger. Patronage on many flights is very low. However, the program is politically popular in the cities receiving the subsidized flights, and Congressional panels expect the funding for the program to increase slightly to $114 million in 2007. However, the George W. Bush White House sought to reduce the cost of the program to $50 million by stricter eligibility criteria and requiring the local governments of the areas served to contribute to the cost. Note: See also Surface and Air Transportation Programs Extension Act of 2011.

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