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Federal Subsidies Keep Small-Town Airports Flying
Posted: November 19th, 2009



RENEE MONTAGNE, host:

And you may never have taken a flight to Vernal, Utah, or Rockland, Maine, but you've helped pay for air service to those towns and many more under a federal program that subsidizes commercial flights to small airports. Some communities consider the $175 million program an economic lifeline. Critics call it wasteful.

NPR's Adam Hochberg reports.

ADAM HOCHBERG: It's not often that you'll see your crowd this big at the airport in Hot Springs, Arkansas.

Unidentified Man #1: Hey y'all, gather around right in here.

HOCHBERG: But last month, scores of people crowded into the tiny terminal to help Mayor Mike Bush celebrate something that other airports take for granted. For the first time in more than a year, Hot Springs - a city with fewer than 40,000 residents - is being served by a commercial airline.

Mayor MIKE BUSH (Hot Springs, Arkansas): We've got airline service, y'all...

(Soundbite of applause)

HOCHBERG: Now, if you're used to flying into bigger cities, the Hot Springs service may be a bit underwhelming. It's provided by a small carrier called Seaport, which offers three daily round trips to Memphis on a single-engine, nine-passenger propeller plane. But airport director George Downey says even that level of service is a big deal for Hot Springs community leaders.

Mr. GEORGE DOWNEY (Airport Director, Hot Springs): It's very important for economic development because it is something positive that they can answer to any company wanting to relocate. Usually that's the first or second question on any questionnaire: Do you have local air service?

HOCHBERG: Twice this decade, other airlines have started commercial flights to Hot Springs, only to discontinue them for a lack of passengers. So why is Seaport trying again? Partly because the company is getting a federal subsidy to do it. Hot Springs is among about a hundred small cities in what's known as the Essential Air Service program. That means airlines can receive hundreds or even thousands of dollars in federal subsidies for each passenger. Seaport CEO Kent Craford says his company is getting more than a million dollars a year to fly here.

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