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As of November 2013, Great Lakes Airlines received $58,299,575 in annual federal subsidies for Essential Air Services that they provided to rural airports in the U.S. [3] Great Lakes Airlines was a large United Express feeder carrier from 1992 to 2002 operating to over 100 cities.
In November 2022, Cape Air, which was the carrier serving the airport at the time, requested to terminate its essential air service contract at the airport, citing rising costs that were causing it to lose money at the airport even with federal subsidies. Round-trip flights continued until Contour Airlines took over in August 2023. [10]
EAS subsidies have increased by more than 500% since 1997. Pursuant to the Department of Transportation and Related Agencies Appropriations Act of 2000, no community within the 48 contiguous states may receive a subsidy greater than $200 per passenger unless the community is more than 210 miles (340 km) from the nearest large or medium hub airport.
Order 2008-6-26 (June 19, 2008): selecting Great Lakes Aviation, Ltd. to provide subsidized essential air service (EAS) at Merced and Visalia, California, and Ely, Nevada, for the two-year period beginning when the carrier inaugurates full EAS pursuant to this Order, at an annual subsidy of $4,900,401 with 19-seat Beech 1900D turboprop aircraft.
During the COVID-19 pandemic, airlines in Europe had to temporarily cease most operations and had requested a total of 12.8 billion euros in government support by mid-April 2020, according to a Transport & Environment, Greenpeace and Carbon Market Watch report.
Order 2010-9-9: selecting Hyannis Air Service, Inc. d/b/a Cape Air to provide EAS at Fort Leonard Wood, for an annual subsidy of $1,478,102, also for a two-year period beginning when the carrier inaugurates service. An additional $959,664 in annual subsidy may be incurred when all-cargo flights are used to transport luggage to/from Fort Leonard ...
Order 2012-1-17 (January 23, 2012): selecting Great Lakes Aviation, Ltd. to provide Essential Air Service (EAS) at Jamestown, North Dakota, for an annual subsidy of $1,987,655, effective with the start of service by Great Lakes. We anticipate that Great Lakes will start service on or about March 12, 2012.
Order 2004-5-15: selecting Great Lakes Aviation, Ltd., to provide essential air service with subsidy support at Grand Island, Kearney, McCook, North Platte, and Scottsbluff, Nebraska, for two years at a total annual subsidy of $5,233,287. Also, the Department makes final the termination of the eligibility of Norfolk, Nebraska, to receive ...