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RESTORE Policy Recommendations

White House / Biden Administration

The Bipartisan Infrastructure Legislation (BIL) has been a much overdue, and much needed investment by the federal government and injects over $1 trillion into our nation’s infrastructure. It will contribute billions into our nation’s airports, but it doesn’t place enough emphasis on rural and small communities that are struggling to maintain daily air service. RESTORE will work with the Biden Administration to make resources for rural and small community air service a top priority.

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The Pilot Shortage is a major challenge nationally, but it hit rural and small communities “first and worst”. The airline industry has also received tremendous financial support since the beginning of the Covid-19 pandemic, totaling over $55 billion dollars, while also seeing record quarterly profits, all the while ending daily air service to rural and small communities—this system is broken. RESTORE is supportive of the airline industry as a trusted partner. We are asking the federal government to use all of its powers through regulatory actions and even executive order if necessary to address the daily air service crisis for rural and small communities. These communities deserve a fair and level playing field to ensure current and future economic and community prosperity.

 

RESTORE proposes the Administration:

  • Consider creating a federal interagency, rural, and small community airport “Task Force” to identify all federal resources that can be used to encourage and incentivize the airline industry, which benefited with tremendous taxpayer support through covid, to better service rural and small community airports. The Task Force could include leaders from the rural and local communities, businesses, and the airline industry as well as cabinet level officials from the White House.

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Department of Transportation

Current programs such as the Essential Air Service (EAS) and the Small Community Air Service Development Program (SCASD) were created to provide support for small and rural community airports. EAS was created in 1978 and SCASD in 2002, and although helpful, are not adequate in assisting communities improve or attract daily air service, as the programs were originally intended, in a post-pandemic world, and need updating. DoT should work with Congress to update and better administer these programs.

 

 

RESTORE proposes the DoT:

  • Revisit and modernize its eligibility and use of funding criteria, such as prioritize and increase federal funds for rural and small community airports who have lost significant air service since 2020.

  • Revise waiver eligibility rules to make sure airports who have majority of air service since 2020 be able to participate.

  • Modernize mandatory retirement age. Currently, pilots are mandated by the FAA to retire at age 65.

 

 

Proposed EAS Eligibility Waiver (FAA Reauthorization)

  • Airports who were not eligible for EAS after 2012 (because not having received EAS funding in 2011) but lost significant daily air service, due to ongoing air service issues related to the pandemic, since 2020, will now regain eligibility for EAS program via waiver.

  • As to not create permanent EAS eligibility, the eligibility waiver would only be good for 5-years, to account for issues such as the “pilot shortage” and give the airport ability to properly restore air service market after the pandemic. These airports would not be EAS eligible after the 5-year period.

 

Department of Commerce

The Department of Commerce is a trusted partner for the airline industry as well as local Chambers of Commerce, economic development organizations, and rural and small community airports. Through the Economic Development Administration (EDA), the Commerce Department has the ability to address workforce development issues, provide “economic adjustment assistance” to communities who are facing traumatic shock from the significant loss of an imperative industry.

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RESTORE proposes that the Department of Commerce acknowledge the loss of daily air service qualifies rural and small communities for “economic adjustment assistance” by:

  • Prioritizing project funding (such as Economic Adjustment Assistance and Public Works Grants) for rural and small community airports that have lost majority of daily air service since 2020.

  • Allowing EDA funds to be used for programs to help attract daily air service to rural and small communities, such as Minimum Revenue Guarantees to airline industry partners.

 

Department of Homeland Security

The airline industry is facing a national pilot shortage. Pilots are retiring without a sufficient supply to fill the void. Studies indicate that this problem is only going to get worse over the next 10 years. That said, the United States Citizens and Immigration Service (USCIS) administers visas to the United States. Certain worker visa categories, such as H1B and EB-2, could offer foreign pilots an opportunity to help with the pilot shortage by attracting qualified and talented foreign pilots to the United States.

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RESTORE proposes Department of Homeland Security:

  • Increase the H1B and EB-2 visa programs for qualified pilots.

  • Expedite the process for those pilots who agree to fly for rural and small communities for a minimum of 2 years, through the National Interest Waiver.

 

FAA Congressional Reauthorization Priorities

Expanding Rural and Small Community Air Service

 

Rural and small community airports are massive economic development drivers for the United States. Air service to rural and small communities accounts for over 1 million jobs and helps to generate over $41 billion to those local economies contributing to the overall economic vitality of the US economy (Association, 2019). The federal programs that support rural and small airports are in desperate need of modernization to better support rural America. The mass exodus of the airline industry from rural America is stifling our economic growth and opportunity.

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RESTORE proposes that the FAA Reauthorization include:

  • Congress taking a fresh look at these programs, augment funding and revisit eligibility rules, and better incentivize airlines to provide daily air service to rural America.

  • Restoring Eligibility Waiver (see above)

  • Increasing funding for the Small Community Air Service Development program (SCASD)

  • Modernizing these programs for rural and small community airports as a top priority.

  • Holding Congressional hearings in partnership with RESTORE to address the issues of daily air service for rural and small community airports.

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