Latest news with #EAS
Yahoo
7 days ago
- Business
- Yahoo
Federal money is essential to North Country airports; Trump wants to cut it in half
If you live in the North Country, you know flights can be expensive. Air travel often involves hours of driving, expensive airport parking, and even pricier tickets. But if you're looking to travel to a few cities around the eastern U.S. and your schedule is flexible, you might be able to find far cheaper tickets for direct flights from one of five North Country airports. That's because of the Essential Air Service, a federally funded program aimed at providing affordable air travel to rural regions. Now, President Donald Trump is proposing to cut EAS funding by $308 million or more than 50%, as outlined in the discretionary funding requests the White House published in early May, which argued, 'The EAS program funnels taxpayer dollars to airlines to subsidize half-empty flights from airports that are within easy commuting distance from each other, while also failing to effectively provide assistance to most rural air travelers.' Empty seats and idle airports There are five EAS airports in the North Country: Plattsburgh, Lake Clear, Massena, Ogdensburg, and Watertown. In mid-May, a direct flight from Plattsburgh to Dulles near Washington DC. had just 12 passengers on the 30-seater plane operated by Contour Airlines. The round-trip flight cost $158. The availability and affordability of direct flights from rural regions like the North Country to larger cities dates back to the 1970s when the federal government was deregulating the airline industry. Some lawmakers worried that rural populations would be left without any service at all. So Congress created what would later become the Essential Air Service. The goal was to serve places like the North Country, where people regularly drive hours to larger hubs like Syracuse, Albany or Burlington. 'Anytime I travel, it saves me four hours, at least- two hours one direction, two hours another direction,' explained Andre Dauphin, who lives in Ausable and spends about 50% of his time traveling for work. 'Rather than doing the commute and the traveling and dropping off a car at a rental place, I don't have to do all that,' said Dauphin. 'It saves me a lot of time and money, and it saves my company a lot of time and money.' Trump's budget says EAS spending is 'out of control' When President Donald Trump proposed a 50% cut to EAS funding, some lawmakers including Senator Chuck Schumer raised the alarm. 'That would devastate North Country airports and hurt places or smaller airports- Watertown, Ogdensburg, Plattsburgh, Massena, Adirondack Regional airport,' said Schumer. Those five North Country airports got more than $31 million in 2024, more than double what they received five years ago. EAS funding nationwide has more than doubled since then, as well. Trump's proposed budget points that out, saying 'spending on programs is out of control.' Ray Mundy agrees. He's a retired college professor who taught about transportation issues and published a cost-benefit analysis of the Essential Air Service in 2015. 'Even though the intentions of the program were good, the politicians that arranged for them are good, the local people that want an airport are good, it's just a waste of money,' said Mundy. The subsidized price per passenger Last year, Plattsburgh got $6.8 million in EAS funding. According to federal data, it served about 93,000 passengers, equating to a $74 subsidy per person. For even smaller North Country airports, the subsidy is much higher. About 6,100 people boarded flights out of Ogdensburg airport in 2024 and the airport received $8.8 million in EAS funding, resulting in an average subsidy of $1,400 per passenger. Last fall, NCPR intern Zach Jaworski was one of just 13 passengers on an Airbus that can seat nearly 140. He spoke with flight attendant Li'i Issacs. 'The smallest flight that I've had was when we did this first trip two days ago. We only had two people on our plane,' said Issacs. 'I've never had a crew that outnumbered the passengers.' Ticket sales have gone up from Ogdensburg in recent months, but flights are still only about 30% full. Airport manager Charlie Garrelts says despite that fact, he believes EAS airports are vital to the North Country's economy. 'Residents in rural areas, a lot of them are depending on air service to travel for specialized medical care or higher education opportunities.' Garrelts says another big percentage of passengers are Canadian. While the Ottawa airport is just about an hour north, flights from Ogdensburg are cheap, and parking is free. Canadian travelers have their choice of airports near the border that are subsidized by American taxpayers, from Watertown, Ogdensburg, Massena, and Plattsburgh. Burlington resident David Rovinsky was flying from DC back to Plattsburgh due to air traffic control issues in Newark upending his travel plans to fly to Burlington. Rovinsky said it's difficult to weigh the costs and benefits of EAS funding, since some things are just hard to quantify. 'There's an element of public good here,' said Rovinsky. 'This is important to maintain communities and even if the airport doesn't completely pay for itself, it provides other social benefits that, in turn, justify making up that difference with government money.' Just how much government money will keep flowing is now up to Congress.
Yahoo
21-05-2025
- Business
- Yahoo
Potential Trump cut to rural air service subsidy concerns Bridgeport Airport
FAIRMONT — President Donald Trump's proposed $300 million cut to the Essential Air Service could potentially impact North Central West Virginia Airport. The EAS program ensures communities with small populations, such as rural areas, have access to air carriers. Airport Director Rick Rock said there's about 160 airports that are part of the program, with about 100 in the lower 48 states and remaining amount in Alaska. The subject came up at the Benedum Airport Authority's meeting on Tuesday. 'We think that West Virginia is just as important as any major city in America,' Rock said. 'Through that program, we're able to have people connected directly to West Virginia. One of the biggest things we've had as we tried to promote economic development is how hard it is to get to West Virginia. Essential Air Service really improves it.' Trump's May 2 budget proposal for fiscal year 2026 discretionary spending includes a $308 million cut to the EAS. The document accuses the EAS of paying for half empty flights from airports which are within commuting distance of each other. It also claims it fails to provide effective assistance to most rural air travelers. The Trump Administration claims spending on the program is out of control. In 2019, EAS cost $175 million and in 2021, a COVID year, spending was $142 million. In 2025, EAS spending reached around $600 million. A cursory review of online materials did not reveal a reason for the increase. Rock said the airport authority wants all programs to be efficient, but that the North Central West Virginia Airport has shown itself to be a success story due to EAS. The airport has done work to bring major figures in the aviation industry to the airport. 'I think that's some people's spin on it and they're trying to say why it shouldn't be,' he said, referring to the explanation for the cut in Trump's budget proposal. 'To me, it's the fact that in rural America we deserve to have opportunities that they have in urban America. I think that's what it comes down to.' Fees collected from foreign air services that fly through U.S. airspace by the Federal Aviation Administration pay for EAS, as well as money from the Airport and Airways Trust Fund. The fund collects excise taxes from domestic passenger ticket sales and other groups who use the country's aviation system. Rock said it's a small percentage of the U.S. budget. Benedum Airport Authority President David Hinkle doesn't expect a cut to the EAS to be an issue. The only issue he sees is if there's an increase in ticket prices, because EAS subsidizes those prices. But, it wouldn't affect what carriers come to the airport. The airport is working on bringing more routes to the airport. 'Unless it only affects the carrier, but they don't think it's financially viable for them,' Hinkle said. Hinkle said the board wants to eventually return flight service between Bridgeport and Chicago. They also don't want to lose service to Charlotte, North Carolina. The airport is awaiting bids from different carriers, so Hinkle is in a wait and see mode. If there is a reduction to EAS, air carriers will have to reevaluate what they can charge passengers while considering what price would be acceptable to travelers as well. The board also approved a lease from Longview, an oil and gas company to access some of the mineral resources under the airport. Rock said it will be a little additional revenue for the airport. Hinkle hopes the deal provides royalties for 15 to 20 years. 'What they do now is drill horizontally, so we have one lease where they'll come from south of the airport going north, and this one's going to come from the north and go south, and they'll meet each other,' Hinkle said. 'So it'll be two different companies drilling underneath airport property.'
Yahoo
20-05-2025
- Climate
- Yahoo
When is a ‘destructive' severe thunderstorm warning issued?
BIRMINGHAM, Ala. (WIAT) — A severe storm pushed through portions of Tuscaloosa, Bibb, Jefferson and Shelby counties that prompted a 'destructive' severe thunderstorm warning Sunday morning. People were woken up very early Sunday to their phones buzzing from an Emergency Alert System notification for up to 80 mile per hour winds. While people expect the emergency system to alert them during a tornado warning, some wondered why this alarm was also sounded for a severe thunderstorm warning. In 2021, the National Weather Service rolled out new branding for severe thunderstorm warnings by creating categories based on the threat level. For instance, it was realized that a severe storm producing extreme winds or hail should earn its own label compared to a standard severe storm with relatively less destructive winds or hail. The definition of a severe thunderstorm warning is a storm producing winds of at least 58 miles per hour or up to quarter-sized hail in diameter. That 2021 decision led to two new types of severe thunderstorm warnings. The 'considerable' type is for winds of at least 70 miles per hour or golf ball-sized hail. The 'destructive' warning is for winds of at least 80 miles per hour or baseball-sized hail. When a 'destructive' severe thunderstorm warning is issued, the EAS is prompted to alert cell phones and televisions, which is why many people were caught off guard early Sunday because there was no tornado warning. While that isn't the first severe thunderstorm warning with a 'destructive' tag in central Alabama, this part of the country does not receive them often. Typically, only about 10% of severe thunderstorm warnings have a destructive tag associated with them. Meteorologists urge people to take shelter when a 'destructive' tag is issued since those winds are reaching hurricane-force strength, which is strong enough to produce substantial damage similar to a weak tornado or hurricane. Be sure to follow the CBS 42 Storm Team: Follow Us on Facebook: Chief Meteorologist Dave Nussbaum, Meteorologist Michael Haynes, Meteorologist Alex Puckett, and Meteorologist Jacob Woods. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
Asia Times
19-05-2025
- Politics
- Asia Times
Why Anwar's ASEAN is reaching so robustly to Russia
It may seem paradoxical that the Association of Southeast Asian Nations (ASEAN) is now deepening its engagement with Russia after publicly reaffirming its commitment to 'sovereignty, political independence and territorial integrity' in a communique soon after Russia's invasion of Ukraine. Yet ASEAN's diplomatic posture should be viewed not through the lens of moral idealism but rather strategic realism. For ASEAN and this year's chair, Malaysia, engagement is not endorsement. Rather, it is a highly conscious effort to anchor Russia within an evolving regional framework that prizes dialogue over confrontation and sustains a long-standing tradition of hedging and strategic autonomy amid major power rivalries. Last week's meeting between Malaysian Prime Minister Anwar Ibrahim and Russian President Vladimir Putin in Moscow—expected to be followed by Putin's attendance at the East Asia Summit (EAS) in Kuala Lumpur in October 2025—marks a critical moment. ASEAN was never meant to be a sanctions-driven alliance, nor an adjudicator of great power misconduct. It is a convening architecture—ASEAN+1, ASEAN+3, the East Asia Summit and the ASEAN Regional Forum (ARF)—that emphasizes inclusion, consensus and continuous dialogue. It was designed precisely to accommodate rivals, outliers and even belligerents on the assumption that talking is always better than total disengagement. Thus, engaging Russia through ASEAN channels is not a contradiction—it is the essence of ASEAN diplomacy. Welcoming Moscow to the EAS in Kuala Lumpur is a diplomatic bet that Russia may still be seeking avenues of cooperation over confrontation. It is also a message to the world that ASEAN does not subscribe to bloc politics or enforced isolation as a pathway to peace. Malaysia and ASEAN envision an Indo-Pacific that is diverse, multipolar and strategically balanced—not one held hostage by zero-sum US-China dynamics. ASEAN's Outlook on the Indo-Pacific (AOIP) is a clear expression of this intent. Russia's involvement, alongside India, Japan, South Korea and Australia, ensures that no single hegemon dominates the regional agenda. This multiplicity is ASEAN's insurance policy and safeguard against being subsumed by external rivalries. For this reason, a constructive Russian role in East Asia is not only acceptable—it is essential. It helps ASEAN retain policy flexibility and geopolitical space, allowing it to maneuver without choosing sides in an increasingly polarized world. Even amid sanctions and international condemnation, Russia remains a relevant economic actor. It is a major exporter of energy, fertilizer and arms. Russian Sukhoi Su-30 fighter jets remain in active service in Malaysia's air force. Countries such as Vietnam and Indonesia still maintain defense ties with Moscow, recognizing both cost-effectiveness and strategic diversification. Severing these links in the name of moral absolutism may satisfy some, but it could erode national security and economic resilience across Southeast Asia. For ASEAN, continued technical cooperation with Russia is not about blind dependence—it is about avoiding overreliance on any one country or bloc, especially in defense and energy security. Russia's activities in Central Asia, the Arctic and along the Northern Sea Route (NSR) may seem remote, but they matter for ASEAN's long-term connectivity agenda. The convergence of Russia's Eurasian Economic Union (EAEU) with China's Belt and Road Initiative (BRI) signals an emerging transcontinental corridor that could reshape Asia-Europe trade flows, complementing ASEAN's regional integration ambitions. Engagement, therefore, offers ASEAN influence—however subtle—over the trajectory of Russian involvement in Eurasian and Arctic dynamics. By including Russia in multilateral dialogues, ASEAN helps steer that engagement toward peaceful integration rather than exclusionary blocs. Putin's potential visit to Malaysia in October 2025—potentially his first ever—will be closely watched far and wide, including in Washington. Putin's visit would be more than protocol; it would be a test of whether Russia can conduct diplomacy on ASEAN's terms, i.e. inclusive, peaceful and future-oriented. Will Russia remain trapped in historical resentments and revisionist impulses? Or will it see the summit as a moment to reset its engagement with Asia? The ball, diplomatically speaking, is in Moscow's court. Malaysia, as the pivotal summit's host, has an opportunity to send a clear signal. Prime Minister Anwar's stated personal commitment to justice, multilateralism and civilizational dialogue gives him standing to engage Putin—not as an apologist, but as a moral and strategic interlocutor. In an era defined by economic fragmentation and great power antagonism, ASEAN's outreach to Russia is not a betrayal of values—it is a reclaiming of diplomacy's purpose. To isolate a nuclear power is to risk escalation; to engage it is to seek transformation. Russia, under the right conditions, could evolve from a source of disruptive conflict to a contributor to regional stability. The 2025 East Asia Summit in Kuala Lumpur will be its opportunity to show that such a transformation is possible. ASEAN, and especially Malaysia, are offering the table. The question now is: will Russia take the seat and rise to the occasion?
Yahoo
14-05-2025
- Business
- Yahoo
Surf Air Mobility Inc (SRFM) Q1 2025 Earnings Call Highlights: Revenue Growth and Strategic ...
Release Date: May 13, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Surf Air Mobility Inc (NYSE:SRFM) reported first-quarter revenue of $23.5 million, at the high end of their expected range, keeping them on track to meet their full-year expectation of over $100 million in revenue. The company successfully raised an incremental $5 million in funding, enhancing their liquidity and balance sheet management. Surf Air Mobility Inc (NYSE:SRFM) has entered into an interline agreement with Japan Airlines, expanding their potential access to over 435 million customers and enhancing connectivity in the Hawaii region. The company is making substantial progress on their electrification initiative, with late-stage discussions with key partners to advance their work. Surf Air Mobility Inc (NYSE:SRFM) has improved their flight completion factor to above 92% in the first six weeks of the second quarter, indicating operational improvements and increased customer satisfaction. The company experienced a brief service interruption in the first quarter due to maintenance issues, impacting their operational levels temporarily. Scheduled service revenue decreased by 23% year over year, primarily due to the elimination of unprofitable routes and a brief interruption of service. On-demand service revenue decreased by 25% year over year, driven by a mix of lower sales and flight completions. The company is navigating a challenging economic, regulatory, and funding environment, which requires aggressive management of operations and cost structures. Surf Air Mobility Inc (NYSE:SRFM) is still capital constrained, which has impacted their ability to fully execute their transformation plan. Warning! GuruFocus has detected 4 Warning Signs with SRFM. Q: What are your thoughts on the changes to the Essential Air Service (EAS) budget and how might it affect Surf Air Mobility? A: Deanna White, CEO, explained that while there is a proposed $308 million reduction in EAS subsidies, Surf Air Mobility's position as a low-cost operator provides a competitive advantage. They are monitoring the situation closely and exploring strategies to maintain service on subsidized routes even if subsidies are reduced. Q: Can you discuss which scheduled and charter flights are considered core versus those being reduced? A: Deanna White, CEO, stated that Hawaii and EAS routes are core areas due to their unique commuter needs and lack of direct competition. They focus on profitability and how routes fit within their existing footprint when deciding on route adjustments. Q: How proactive will you be in adding new profitable routes, and what is the goal for this segment? A: Deanna White, CEO, mentioned that while they have targeted routes to exit, some EAS routes are being maintained longer due to DOT requests. They plan to start new tier-one routes next year, focusing on maximizing profitability. Q: What is the status of the SurfOS product, and when can we expect a commercial rollout? A: The company is integrating feedback from beta users and plans a full commercial rollout of SurfOS in 2026. They are currently using SurfOS modules internally to enhance operations before broader market release. Q: Can you provide details on the recent service interruption and its impact? A: Deanna White, CEO, clarified that the service interruption in January was unplanned, related to maintenance issues, and was resolved with FAA cooperation. Despite this, they remained within their guidance range. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
