2 days ago
Essential Air Service's funding might be cut
PIERRE, S.D. (KELO) — The Trump administration wants to slash the budget for the federal Essential Air Service program and that could affect three of South Dakota's airports.
State Transportation Secretary Joel Jundt briefed the South Dakota Aeronautics Commission about the situation.
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The program currently is budgeted at $588 million, Jundt told the commission members on Thursday, and Trump wants to reduce the amount by $380 million.
'So that would be a fairly substantial cut relative to that program,' Jundt said.
But, he pointed out, the U.S. House version of the reconciliation bill doesn't have that cut in it, while the U.S. Senate has yet to consider it.
Jundt said airport managers at the three South Dakota cities that receive EAS subsidies — Watertown, Pierre and Aberdeen – have been in contact with U.S. Sen. John Thune and U.S. Sen. Mike Rounds asking that the cut not be supported.
The Trump administration's 46-page outline says this about EAS:
'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. Spending on programs is out of control, more than doubling between 2021 and 2025. The Budget reins in EAS subsidies by proposing a mix of reforms to adjust eligibility and subsidy rates to help rural communities' air transportation needs in a more sustainable manner. This would save American taxpayers over $300 million from the 2025 level.'
In other action Thursday, the South Dakota commission:
Approved state 5% funding participation to accompany Federal Aviation Administration grants for airport projects at Canton, Faith, Vermillion, McLaughlin and Wall.
Chose Bob Huggins of Sioux Falls as the panel's new chair.
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