[House Hearing, 119 Congress]
[From the U.S. Government Publishing Office]


                    CONNECTING RURAL AMERICA TO THE
                        NATIONAL AIRSPACE SYSTEM
=======================================================================

                                (119-44)

                                HEARING

                               BEFORE THE

                            SUBCOMMITTEE ON
                                AVIATION

                                 OF THE

                              COMMITTEE ON
                   TRANSPORTATION AND INFRASTRUCTURE
                        HOUSE OF REPRESENTATIVES

                    ONE HUNDRED NINETEENTH CONGRESS

                             SECOND SESSION

                               __________

                              JUNE 4, 2026

                               __________

                       Printed for the use of the
             Committee on Transportation and Infrastructure
             
[GRAPHIC NOT AVAILABLE IN TIFF FORMAT]             


     Available online at: https://www.govinfo.gov/committee/house-
     transportation?path=/browsecommittee/chamber/house/committee/
                             transportation
                            
                               __________
                               
                    U.S. GOVERNMENT PUBLISHING OFFICE
64-295 PDF                 WASHINGTON : 2026
=======================================================================

             COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

  Sam Graves, Missouri, Chairman
 Rick Larsen, Washington, Ranking 
              Member
Eleanor Holmes Norton,               Eric A. ``Rick'' Crawford, 
  District of Columbia               Arkansas,
Jerrold Nadler, New York               Vice Chairman
John Garamendi, California           Daniel Webster, Florida
Henry C. ``Hank'' Johnson, Jr.,      Georgiaomas Massie, Kentucky
Andre Carson, Indiana                Scott Perry, Pennsylvania
Dina Titus, Nevada                   Brian Babin, Texas
Jared Huffman, California            David Rouzer, North Carolina
Julia Brownley, California           Mike Bost, Illinois
Frederica S. Wilson, Florida         Bruce Westerman, Arkansas
Mark DeSaulnier, California          Brian J. Mast, Florida
Salud O. Carbajal, California        Pete Stauber, Minnesota
Greg Stanton, Arizona                Tim Burchett, Tennessee
Sharice Davids, Kansas               Dusty Johnson, South Dakota
Jesus G. ``Chuy'' Garcia, Illinois   Jefferson Van Drew, New Jersey
Chris Pappas, New Hampshire          Troy E. Nehls, Texas
Seth Moulton, Massachusetts          Tracey Mann, Kansas
Marilyn Strickland, Washington       Burgess Owens, Utah
Patrick Ryan, New York               Eric Burlison, Missouri
Val T. Hoyle, Oregon                 Mike Collins, Georgia
Emilia Strong Sykes, Ohio,           Mike Ezell, Mississippi
  Vice Ranking Member                Kevin Kiley, California
Hillary J. Scholten, Michigan        Vince Fong, California
Valerie P. Foushee, North Carolina   Tony Wied, Wisconsin
Christopher R. Deluzio, Pennsylvania Tom Barrett, Michigan
Robert Garcia, California            Nicholas J. Begich III, Alaska
Nellie Pou, New Jersey               Robert P. Bresnahan, Jr., 
Kristen McDonald Rivet, Michigan     Pennsylvania
Laura Friedman, California           Jeff Hurd, Colorado
Laura Gillen, New York               Jefferson Shreve, Indiana
Shomari Figures, Alabama             Addison P. McDowell, North 
Maxwell Frost, Florida               Carolina
                                     David J. Taylor, Ohio
                                     Brad Knott, North Carolina
                                     Kimberlyn King-Hinds,
                                       Northern Mariana Islands
                                     Mike Kennedy, Utah
                                     Robert F. Onder, Jr., Missouri
                                     Jimmy Patronis, Florida
                                     Clay Fuller, Georgia

                        Subcommittee on Aviation

  Troy E. Nehls, Texas, Chairman
  Andre Carson, Indiana, Ranking 
              Member
Sharice Davids, Kansas               Thomas Massie, Kentucky
Hillary J. Scholten, Michigan        Scott Perry, Pennsylvania
Robert Garcia, California            Brian J. Mast, Florida
Henry C. ``Hank'' Johnson, Jr.,      Georgiate Stauber, Minnesota
Julia Brownley, California           Tim Burchett, Tennessee
Frederica S. Wilson, Florida         Dusty Johnson, South Dakota
Mark DeSaulnier, California          Jefferson Van Drew, New Jersey
Valerie P. Foushee, North Carolina   Tracey Mann, Kansas
Christopher R. Deluzio, Pennsylvania Burgess Owens, Utah
Nellie Pou, New Jersey,              Tony Wied, Wisconsin, Vice 
  Vice Ranking Member                Chairman
Laura Gillen, New York               Tom Barrett, Michigan
Eleanor Holmes Norton,               Nicholas J. Begich III, Alaska
  District of Columbia               Robert P. Bresnahan, Jr., 
Dina Titus, Nevada                   Pennsylvania
Salud O. Carbajal, California        Jeff Hurd, Colorado
Greg Stanton, Arizona                Jefferson Shreve, Indiana
Jesus G. ``Chuy'' Garcia, Illinois   Addison P. McDowell, North 
Val T. Hoyle, Oregon                 Carolina
Rick Larsen, Washington (Ex Officio) Brad Knott, North Carolina
                                     Kimberlyn King-Hinds,
                                       Northern Mariana Islands
                                     Robert F. Onder, Jr., Missouri
                                     Jimmy Patronis, Florida
                                     Sam Graves, Missouri (Ex Officio)

                                CONTENTS

                                                                   Page

Summary of Subject Matter........................................   vii

                 STATEMENTS OF MEMBERS OF THE COMMITTEE

Hon. Troy E. Nehls, a Representative in Congress from the State 
  of Texas, and Chairman, Subcommittee on Aviation, opening 
  statement......................................................     1
    Prepared statement...........................................     2
Hon. Andre Carson, a Representative in Congress from the State of 
  Indiana, and Ranking Member, Subcommittee on Aviation, opening 
  statement......................................................     3
    Prepared statement...........................................     4
Hon. Sam Graves, a Representative in Congress from the State of 
  Missouri, and Chairman, Committee on Transportation and 
  Infrastructure, opening statement..............................     5
    Prepared statement...........................................     6
Hon. Rick Larsen, a Representative in Congress from the State of 
  Washington, and Ranking Member, Committee on Transportation and 
  Infrastructure, opening statement..............................     6
    Prepared statement...........................................     8

                               WITNESSES

Faye Malarkey Black, President and Chief Executive Officer, 
  Regional Airline Association, oral statement...................    10
    Prepared statement...........................................    12
Shawn Dobberstein, A.A.E., Executive Director, Hector 
  International Airport, Fargo, North Dakota, on behalf of the 
  American Association of Airport Executives, oral statement.....    23
    Prepared statement...........................................    24
Derrick Collins, Director, Physical Infrastructure, U.S. 
  Government Accountability Office, oral statement...............    26
    Prepared statement...........................................    27
Gregory Pecoraro, President and Chief Executive Officer, National 
  Association of State Aviation Officials, oral statement........    37
    Prepared statement...........................................    38

                       SUBMISSIONS FOR THE RECORD

Submissions for the Record by Hon. Troy E. Nehls:
    Letter of June 4, 2026, to Members of the House Committee on 
      Transportation and Infrastructure, Subcommittee on 
      Aviation, from Molly Grover, President and Chief Executive 
      Officer, Dubuque Area Chamber of Commerce, Dubuque, Iowa...    73
    Letter and Attachment of June 9, 2026, from Jack Waldorf, 
      Executive Director, Western Governors' Association, to Hon. 
      Troy E. Nehls, Chairman, and Hon. Andre Carson, Ranking 
      Member, Subcommittee on Aviation...........................    74

                                APPENDIX

Post-Hearing Questions for the Record to Faye Malarkey Black, 
  President and Chief Executive Officer, Regional Airline 
  Association, from:
    Hon. Sharice Davids..........................................    79
    Hon. Greg Stanton............................................    83
Post-Hearing Questions for the Record to Shawn Dobberstein, 
  A.A.E., Executive Director, Hector International Airport, 
  Fargo, North Dakota, on behalf of the American Association of 
  Airport Executives, from Hon. Greg Stanton.....................    85

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                              May 29, 2026

    SUMMARY OF SUBJECT MATTER

    TO:      LMembers, Subcommittee on Aviation
    FROM:  LStaff, Subcommittee on Aviation
    RE:      LSubcommittee Hearing on ``Connecting Rural 
America to the National Airspace System''
_______________________________________________________________________


                               I. PURPOSE

    The Subcommittee on Aviation of the Committee on 
Transportation and Infrastructure will meet on Thursday, June 
4, 2026, at 10:00 a.m. ET in 2167 Rayburn House Office Building 
to receive testimony at a hearing entitled, ``Connecting Rural 
America to the National Airspace System.'' The hearing will 
examine current trends, opportunities, and challenges facing 
small communities and rural commercial service airports. The 
hearing will provide Members with the opportunity to discuss 
their priorities to ensure their constituents maintain options 
for commercial air service. The Subcommittee will receive 
testimony from witnesses representing the Regional Airline 
Association (RAA), airports, the Government Accountability 
Office (GAO), and the National Association of State Aviation 
Officials (NASAO).

                             II. BACKGROUND

    Each year, hundreds of millions of passengers move through 
our Nation's airports, connecting our communities and driving 
economic development across major cities and rural towns alike. 
In those communities, approximately 46 million Americans, 
comprising almost 14 percent of the United States population, 
live in rural counties.\1\ Moreover, following a decade of 
population decline from 2010 to 2020, rural America is again 
experiencing growth as well as a reduction in poverty 
levels.\2\ At the same time, the cost of domestic air fare from 
most small communities has increased at a faster rate than the 
average cost of domestic air fare, adjusted for inflation.\3\
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    \1\ Tracey Farrigan et al., Rural America at a Glance: 2025 
Edition, U.S. Dep't of Agric. Econ. Research Serv., EIB-295 (Jan. 
2026), available at https://ers.usda.gov/sites/default/files/
_laserfiche/publications/113657/EIB-295.pdf?v=59682.
    \2\ Id.
    \3\ U.S. Dep't of Transp., Average Domestic Air Fares (last visited 
May 29, 2026), available at https://transtats.bts.gov/AIRFARES/.
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    According to the Federal Aviation Administration (FAA), 
there are approximately 14,400 private and 5,000 public-use 
airports, heliports, and seaplane bases in the United 
States.\4\ Of those, there are 3,247 National Plan of 
Integrated Airport Systems (NPIAS) airports, of which 37 
percent provide rural areas with access to the National Airport 
System (NAS).\5\
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    \4\ Fed. Aviation Admin., Airport Categories (last updated Dec. 7, 
2022), available at https://www.faa.gov/airports/planning_capacity/
categories.
    \5\ Fed. Aviation Admin., Nat'l Plan of Integrated Airport Systems 
(NPIAS) 2025-2029 (Sept. 30, 2024) [hereinafter NPIAS 2025-2029], 
available at https://www.faa.gov/sites/faa.gov/files/airports/
planning_capacity/npias/current/ARP-NPIAS-2025-2029-Narrative.pdf.
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    While recent events have forced the United States aviation 
industry to largely focus on system safety, modernization 
efforts, and manufacturing quality, access to safe aviation 
service itself--especially for smaller communities--must not be 
overlooked.

                  III. THE ECONOMIC IMPACT OF AIRPORTS

    The FAA's NPIAS contains 3,247 airports; only 64 are 
classified as large or medium hub airports.\6\ In 2024, there 
were 450 small hub, nonhub, and nonprimary commercial service 
airports, collectively accounting for over 122 million 
enplanements.\7\ According to the latest available data from 
2022, commercial service airports reported total airport 
revenue of $35.8 billion, with small and nonhub airports 
contributing 21 percent.\8\
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    \6\ Id.
    \7\ Fed. Aviation Admin., CY2024 Enplanements at All Commercial 
Service Airports (By Rank) (Sept. 15, 2025), available at https://
www.faa.gov/airports/planning_capacity/passenger_allcargo_stats/
passenger/arp-cy2024-commercial-service-enplanements.pdf.
    \8\ NPIAS 2025-2029, supra note 4.
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    According to the latest economic study by the Airports 
Council International-North America, commercial service 
airports in the United States employ over 1.3 million people 
and pay over $115 billion in wages annually. These airports 
claim a total impact of supporting over 12.8 million jobs, $618 
billion in wages, and $1.8 trillion in economic output. 
Additionally, for every increase of 1,000 enplanements, 
airports generate an additional $677,700 in economic output, 
and an additional 5.8 jobs are supported.\9\ Therefore, when 
airports and commercial air service grow, so do their local 
economies.
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    \9\ Airports Council Int'l-North America, The Economic Impact of 
U.S. Commercial Service Airports in 2024 (Mar. 2025), available at 
https://airportscouncil.org/wp-content/uploads/2025/03/ACI-NA-The-
Economic-Impact-of-U.S.-Commercial-Service-Airports-in-2024.pdf.
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IV. TRENDS AND ISSUES FACING AIR SERVICE TO SMALL AND RURAL COMMUNITIES

    Unfortunately, small airports and small communities have 
experienced declining scheduled passenger air service for 
decades. From 2000 to 2018, departures from small and nonhub 
airports fell 32 percent and 47 percent, respectively, compared 
to a seven percent decrease in departures from large hub 
airports.\10\ From 2018 to 2024, the average daily departures 
per route at nonhub airports were down 19 percent, while at 
large hubs, they were only down nine percent. During this 
timeframe, non-Essential Air Service (EAS) nonhub airports 
experienced the greatest decline at 21 percent, while nonhub 
airports with EAS-subsidized service experienced a more modest 
decrease of five percent.\11\ From 2018 to 2023, the 218 
smallest communities with a commercial airport (both small and 
nonhub) saw average departures decrease by 14 percent, with 25 
experiencing more than 50 percent loss.\12\
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    \10\ U.S. Gov't Accountability Off., GAO-26-107751, Commercial 
Aviation: Certain Nonhub Airports Face Significant Challenges in 
Securing and Maintaining Air Service, (Dec. 2025) [hereinafter GAO 
Nonhub Airports Report], available at https://www.gao.gov/assets/gao-
26-107751.pdf.
    \11\ Id.
    \12\ U.S. Gov't Accountability Off., GAO-24-106681, Commercial 
Aviation: Trends in Air Service to Small Communities (2024) 
[hereinafter GAO Small Communities Report], available at https://
www.gao.gov/assets/gao-24-106681.pdf.
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INCREASED REGIONAL AIRLINE OPERATING COSTS

    The rising cost of labor, fuel, and fleet maintenance has 
increased the operating costs for all airlines. This has a 
disproportional impact on services to small communities and 
makes air service to small communities less economically 
feasible. Operating costs for all airlines have steadily 
increased from an average of 12.8 cents per available seat mile 
(CASM) in 2016 to 17.2 cents in 2023.\13\ For regional 
airlines, CASM has increased from 12 cents in 2018 to 16 cents 
in 2023.\14\ Meanwhile, according to the Bureau of Labor 
Statistics inflation calculator, for that timeframe, 12.8 and 
12 cents should have only increased to 15.45 and 15 cents 
respectively.\15\
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    \13\ E-mail from Josh Saltzman, Airlines for America, to Senior 
Professional Staff, H. Comm. on Transp. & Infrastructure (July 8, 2025, 
8:11 AM) (on file with Comm.).
    \14\ GAO Small Communities Report, supra note 10.
    \15\ U.S. Bureau of Labor Statistics, CPI Inflation Calculator 
(last visited May 25, 2026), available at https://www.bls.gov/data/
inflation_calculator.htm.
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PILOT SUPPLY

    In 2017, the Working Group on Improving Air Service to 
Small Communities identified two areas of need for special 
attention. First was a nationwide pilot shortage, and second 
was strengthening the EAS Program.\16\ According to a GAO 
study, the pilot shortage persisted from 2018 through 2023 (the 
timeframe of the study), but was particularly exacerbated by 
the COVID-19 pandemic, with a disproportional impact on small 
communities served by regional airlines. In response to the 
pandemic and the subsequent reduction in demand for air travel, 
airlines tried to reduce their costs by, among other things, 
offering pilots early retirement. As the industry then 
rebounded from the pandemic, larger airlines filled those pilot 
vacancies by hiring from regional airlines, thus 
disproportionately impacting the small communities regional 
airlines tend to serve.\17\ Some stakeholders argue that pilot 
supply issues have eased as airlines retire smaller regional 
aircraft, shift to larger aircraft, and reduce flight 
frequencies. Unfortunately, this reduction in flight 
frequencies once again further reduces service to small 
communities.\18\
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    \16\ U.S. Dep't of Transp., Report of the Working Group on 
Improving Air Service to Small Communities (May 9, 2017), available at 
https://smallcommunityairservice.com/wp-content/uploads/2017/08/dot-
working-group-on-small-community-air-service-report.pdf
    \17\ GAO Small Communities Report, supra note 10.
    \18\ GAO Nonhub Airports Report, supra note 8.
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TRAVELERS CHOOSING TO DRIVE

    According to the GAO, a persistent challenge for small 
communities is ``passenger leakage,'' which occurs when 
residents near smaller airports choose to drive to their 
destination or to a larger airport. This diversion is primarily 
driven by competitive market factors, including lower fares 
from ultra-low-cost carriers, more nonstop service options, 
greater flight frequency, and larger aircraft.\19\
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    \19\ Id.
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                           V. FEDERAL SUPPORT

ESSENTIAL AIR SERVICE PROGRAM (EAS)

    EAS was established by the Airline Deregulation Act of 1978 
(P.L. 95-504) and provides Federal subsidies to air carriers to 
maintain a minimum level of scheduled air service to eligible 
communities. Since the establishment of the program, air 
carriers have coalesced around a model that uses subsidies to 
operate two round-trip flights per day with 30- to 50-seat 
twin-engine aircraft, usually to a large or medium hub airport. 
To be eligible for the subsidy, communities must meet the 
``eligible place'' requirement in statute:
    (a) Lbe an eligible place before October 1, 1988, and 
received scheduled service after January 1, 1990,
    (b) Lthey must have had an average of 10 enplanements per 
service day during the more recent fiscal year (communities 
more than 175 driving miles from a large or medium hub airport 
are exempt),
    (c) Lhad a subsidy rate of less than $1,000 per passenger, 
and
    (d) Lreceived subsidized service between September 30, 
2010, and September 30, 2011.\20\
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    \20\ 49 U.S.C. Sec.  41731.

    The latter three requirements do not apply to communities 
in Alaska and Hawaii. Currently, 110 communities across 33 
states and territories are eligible, excluding Alaska and 
Hawaii.\21\ Of those 110 eligible communities, 108 are 
receiving subsidies, while 69 communities in Alaska, four 
communities in Hawaii, and one in Puerto Rico are receiving 
subsidies.\22\ \23\
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    \21\ U.S. Dep't of Transp., Eligible Essential Air Service (EAS) 
Communities (Excluding Alaska and Hawaii) (Dec. 2021), available at 
https://www.transportation.gov/sites/dot.gov/files/2022-01/
Current%20list%20of%20EAS-Eligible%20communities%20excl%20AK%20%20HI_
Dec2021_0.pdf.
    \22\ U.S. Dep't of Transp., Subsidized Essential Air Service 
Communities (48 Contiguous States, Hawaii, and Puerto Rico), (Oct. 
2025), available at https://www.transportation.gov/sites/dot.gov/files/
2025-10/WEBISTE%20Subsidized%20EAS%20report%20for%2048
%20states_HI_PR_Oct2025.pdf.
    \23\ U.S. Dep't of Transp., Essential Air Service, (last updated 
Nov. 4, 2024), available at https://www.transportation.gov/policy/
aviation-policy/small-community-rural-air-service/essential-air-
service.
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    The program is funded through a combination of 
appropriations from the Airport and Airway Trust Fund (AATF) 
and overflight fees collected by the FAA from foreign aircraft 
traveling over United States airspace. In general, 
appropriations have been climbing since 2000. In 2024 dollars, 
the cost of the program has increased more than fivefold from a 
low of under $100 million annually in the 1990s to $598 million 
in fiscal year (FY) 2025.\24\ Recognizing the need for reforms, 
the FAA Reauthorization Act of 2024 (FAARA24) (P.L. 118-63) 
lowered the maximum overall per passenger subsidy cap to $850 
starting in FY 2027 and set the per passenger subsidy cap at 
$650 for communities that are less than 175 miles from a medium 
or large hub airport. Further, it placed a limitation on the 
waivers that the Department of Transportation (DOT) can give 
communities that don't meet the enplanement requirements.\25\
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    \24\ GAO Small Communities Report, supra note 12; GAO Nonhub 
Airports Report 2025, supra note 8.
    \25\ FAA Reauthorization Act of 2024, Pub. L. No. 118-63, Sec.  
561.
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ALTERNATE ESSENTIAL AIR SERVICE PROGRAM (AEAS)

    AEAS was established in 2003 by the Vision 100--Century of 
Aviation Reauthorization Act (P.L. 108-176) as a pilot program 
to provide greater flexibility in meeting rural air service 
needs. Under AEAS, communities may opt out of traditional EAS 
in exchange for a grant to tailor transportation solutions to 
local needs. This can include subsidizing air carriers 
operating smaller aircraft, on-demand air taxi services, or 
surface transportation to another airport.\26\ However, 
participation has been limited; only 15 communities are 
currently enrolled. FAARA24 requires the GAO to study the 
effectiveness of AEAS and impediments to community adoption.
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    \26\ 49 U.S.C. Sec.  41745.
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SMALL COMMUNITY AIR SERVICE DEVELOPMENT PROGRAM (SCASDP)

    SCASDP was established in 2000 by the Wendell H. Ford 
Aviation Investment and Reform Act for the 21st Century (P.L. 
106-181). Unlike EAS, it offers broader eligibility and more 
flexible use of funds, allowing applicants the opportunity to 
identify their communities' specific air service deficiencies 
and propose tailored solutions. Any public entity or consortium 
of communities can apply to enhance service to any small hub or 
smaller airport, including those without current commercial air 
service.\27\ Typically, the DOT has not considered communities 
that currently participate in EAS or AEAS as eligible. Grants 
can be used to subsidize air carriers, assist airports in 
initiating service, or enhance existing services. Eligible uses 
include recruiting air carriers, offering revenue guarantees, 
conducting economic air service studies, and marketing 
commercial air services.
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    \27\ 49 U.S.C. Sec.  41743.
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    SCASDP is unique in encouraging local financial 
involvement. While not required, applications that include 
local cash contributions (including those from local 
governments, businesses, or other private organizations) are 
considered more favorably.\28\ Demand for SCASDP consistently 
exceeds available funding, with less than half of eligible 
communities receiving grant awards. From 2018 to 2023, the 
number of communities that applied ranged from 40 to 71, 
seeking between $31 million to $58 million, with only $12 
million to $18 million awarded annually. Simultaneously, 
increasing airline operating costs diminishes the effectiveness 
of the grants and their revenue guarantees.\29\ FAARA24 
increased the program's annual authorization level from $10 
million to $15 million, authorized certain ways to amend grant 
agreements based on communities' needs, and required DOT to 
prioritize applications that restore scheduled passenger 
service that has been lost or substantially reduced.\30\
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    \28\ U.S. Dep't of Transp., Order Soliciting Small Community Grant 
Applications, Order 2024-6-8 (June 10, 2024), available at https://
www.transportation.gov/sites/dot.gov/files/2024-06/
FY23CY24.Order%202024-6-8%20FINAL.SCASDP.NOFO_..pdf.
    \29\ GAO Nonhub Airports Report, supra note 8.
    \30\ FAA Reauthorization Act of 2024, Pub. L. No. 118-63, Sec.  
562.
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AIRPORT IMPROVEMENT PROGRAM (AIP)

    In general, the AIP provides grants to public agencies for 
the planning and development of the public-use airports 
identified in the NPIAS.\31\ Funds obligated for the program 
are drawn from the AATF, which is supported by user fees, fuel 
taxes, and similar revenue sources.\32\ Predominantly, AIP 
grants can be used by an airport to enhance airport safety, 
capacity, security, and address environmental concerns. Airport 
sponsors can also use AIP funds, in most cases, on airfield 
capital improvements or repairs and, in some specific 
situations, for terminals and hangars.\33\ Additionally, 
certain professional services that are required prior to an 
airport engaging in construction, such as planning, surveying, 
or design, may also be eligible.
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    \31\ Fed. Aviation Admin., Overview: What is AIP & What is 
Eligible, (last updated Aug. 2, 2022), available at https://
www.faa.gov/airports/aip/overview.
    \32\ Id.
    \33\ Id.
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    Recognizing the need for additional capital and the fact 
that the funding levels for AIP had not kept pace with 
inflation, FAARA24 authorized AIP at $4 billion \34\ per fiscal 
year from 2025 through 2028. In addition to the increased 
authorization, added significant new flexibility for the use of 
AIP funds and revised apportionment formulas, which increased 
annual formula funding levels for both large and small 
airports.
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    \34\ FAA Reauthorization Act of 2024, Pub. L. No. 118-63, tit. IIV.
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                             VI. WITNESSES

     Ms. Faye Malarkey Black, President and CEO, 
Regional Airline Association
     LMr. Shawn Dobberstein, Executive Director, Fargo 
Hector International Airport, on behalf of American Association 
of Airport Executives
     LMr. Derrick Collins, Director, Physical 
Infrastructure, United States Government Accountability Office
     LMr. Gregory Pecoraro, President and CEO, National 
Association of State Aviation Officials

 
        CONNECTING RURAL AMERICA TO THE NATIONAL AIRSPACE SYSTEM

                              ----------                              


                         THURSDAY, JUNE 4, 2026

                  House of Representatives,
                          Subcommittee on Aviation,
            Committee on Transportation and Infrastructure,
                                                    Washington, DC.
    The subcommittee met, pursuant to call, at 10:24 a.m., in 
Room 2167, Rayburn House Office Building, Hon. Troy E. Nehls 
(Chairman of the subcommittee) presiding.
    Mr. Nehls. The Subcommittee on Aviation will come to order.
    I ask unanimous consent that the chairman be authorized to 
declare a recess at any time during today's hearing.
    Without objection, so ordered.
    I also ask unanimous consent that Members not on the 
subcommittee be permitted to sit with the subcommittee at 
today's hearing and ask questions.
    Without objection, so ordered.
    And as a reminder, if Members wish to insert a document 
into the record, please email it to [email protected].
    I now recognize myself for the purpose of an opening 
statement.

  OPENING STATEMENT OF HON. TROY E. NEHLS OF TEXAS, CHAIRMAN, 
                    SUBCOMMITTEE ON AVIATION

    Mr. Nehls. Good morning, and thank you to our panel of 
witnesses for being here today. Good to see you. Each of you 
brings a unique perspective to this important discussion on the 
state of America's small airports and rural communities' access 
to the National Airspace System, or the NAS.
    Airports are more than transportation hubs; they are 
economic engines supporting Americans' livelihoods, connecting 
communities, and enhancing quality of life.
    There are nearly 5,000 public-use airports and heliports 
across the United States, and almost 3,300 of these facilities 
are on the FAA's National Plan of Integrated Airport Systems. 
These numbers are certain to grow as advanced air mobility 
technologies emerge and become integrated into the aviation 
system. Yet, of all of these facilities, only 64 are large- or 
medium-hub airports. Understandably, they get a lot of 
attention.
    But there are another 450 airports providing critical 
commercial passenger service across the country. While they are 
well known within their communities, these airports deserve 
greater attention and stronger support from Congress. For the 
46 million Americans living in rural communities, these 
facilities provide the same critical access to the NAS as 
larger airports do for urban Americans.
    All of you are here today to help us better highlight the 
value of these facilities, the role they play in their 
communities, and the challenges they face in maintaining and 
expanding access.
    According to a recent study by the Airports Council 
International-North America, commercial airports in the United 
States support over 12.8 million jobs, $618 billion in wages, 
and $1.8 trillion--with a ``T''--in economic output. Notably, 
every additional 1,000 enplanements generate nearly $700,000 in 
economic output and supports six additional jobs. We should be 
working together to increase enplanements at these airports so 
all Americans can share these economic benefits.
    Fortunately, there are strong Federal programs designed to 
support communities maintaining existing service, expanding 
service, and attracting new carriers, ultimately increasing 
enplanements. Essential Air Service is the most well known of 
these programs. In the FAA Reauthorization Act of 2024, 
Congress strengthened and reformed EAS to improve 
accountability, restore fiscal discipline, and better target 
limited resources to the communities most in need.
    The Small Community Air Service Development Program grant 
also gives communities the opportunity to identify their own 
air service needs, recruit carriers, offer revenue guarantees, 
conduct studies, and market new service. Importantly, this 
program encourages local business investment. This skin-in-the-
game approach incentivizes services that are more likely to 
succeed long term without subsidies.
    Lastly, the Airport Improvement Program, or AIP, 
distributes resources generated by user fees and fuel taxes by 
formula to all new public-use airports in the NPIAS.
    I would be remiss not to recognize the significant progress 
the Trump administration has made in modernizing the air 
traffic control system. Under Secretary Duffy and Administrator 
Bedford's leadership, more than 2,000 air traffic controllers 
were hired last year, more than 12,000 applied to become 
controllers this year, 612 new radar systems are being 
deployed, half of the outdated copper wiring has already been 
replaced with modern fiber optics, 17 control towers 
transitioned from paper flight strips to electronic systems, 
and 54 airports now have surface awareness systems.
    Clearly, the future of American aviation is bright.
    [Mr. Nehls' prepared statement follows:]

                                 
     Prepared Statement of Hon. Troy E. Nehls of Texas, Chairman, 
                        Subcommittee on Aviation
    Airports are more than transportation hubs, they are economic 
engines supporting Americans' livelihoods, connecting communities, and 
enhancing quality of life.
    There are nearly 5,000 public-use airports and heliports across the 
United States and almost 3,300 of these facilities are on the FAA's 
National Plan of Integrated Airport Systems. These numbers are certain 
to grow as advanced air mobility technologies emerge and become 
integrated into the aviation system. Yet, of all these facilities, only 
64 are large or medium-hub airports. Understandably, they get a lot of 
attention.
    But there are another 450 airports providing critical commercial 
passenger service across the country. While they are well known within 
their communities, these airports deserve greater attention and 
stronger support from Congress. For the 46 million Americans living in 
rural communities, these facilities provide the same critical access to 
the National Airspace System (NAS) as larger airports do for urban 
Americans.
    You all are here today to help us better highlight the value of 
these facilities, the role they play in their communities, and the 
challenges they face in maintaining and expanding access.
    According to a recent study by the Airports Council International-
North America, commercial service airports in the United States support 
over 12.8 million jobs, $618 billion in wages, and $1.8 trillion in 
economic output. Notably, every additional 1,000 enplanements generate 
nearly $700,000 in economic output and support six additional jobs. We 
should be working together to increase enplanements at these airports 
so all Americans can share these economic benefits.
    Fortunately, there are strong federal programs designed to support 
communities maintaining existing service, expanding service, and 
attracting new carriers, ultimately increasing enplanements. Essential 
Air Service (EAS) is the most well-known of these programs. In the FAA 
Reauthorization Act of 2024, Congress strengthened and reformed EAS to 
improve accountability, restore fiscal discipline, and better target 
limited resources to the communities most in need.
    The Small Community Air Service Development Program also gives 
communities the opportunity to identify their own air service needs, 
recruit carriers, offer revenue guarantees, conduct studies, and market 
new service. Importantly, this program encourages local business 
investment. This skin-in-the-game approach incentivizes services that 
are more likely to succeed long-term without subsidies.
    Lastly, the Airport Improvement Program (AIP) distributes resources 
generated by user fees and fuel taxes by formula to all public-use 
airports in the National Plan of Integrated Airport Systems (NPIAS).
    I would be remiss to not recognize the significant progress the 
Trump administration has made in modernizing the system that safely 
manages America's air traffic.
    Under Secretary Duffy's and Administrator Bedford's leadership, 
more than 2,000 air traffic controllers were hired last year, more than 
12,000 applied to become controllers this year, 612 new radar systems 
are being deployed, half of the outdated copper wiring has already been 
replaced with modern fiberoptics, 17 control towers transitioned from 
paper flight strips to electronic systems, and 54 airports now have 
surface awareness systems. Clearly, the future of American aviation is 
bright.

    Mr. Nehls. And, with that, I again thank our witnesses for 
traveling here today, and I look forward to your testimony.
    I will now recognize Ranking Member Carson for a 5-minute 
opening statement.

  OPENING STATEMENT OF HON. ANDRE CARSON OF INDIANA, RANKING 
                MEMBER, SUBCOMMITTEE ON AVIATION

    Mr. Carson. Good morning, and thank you, Chairman Nehls, 
Chairman Graves, and Ranking Member Larsen. It is an honor to 
be here for our first Aviation Subcommittee hearing this year. 
Welcome to our witnesses again for joining today's hearing on 
trends, opportunities, and challenges facing small communities 
and rural commercial service airports.
    Air service for small and rural communities is important to 
many members of this committee. While Indianapolis 
International Airport is one of the busiest in the country, 
there are four airports in Indiana that have Essential Air 
Service determinations for routes that connect through Chicago 
O'Hare Airport.
    The 2024 FAA reauthorization is actively creating a 
positive economic impact on small and rural communities through 
the preservation of EAS programs and raising the per-passenger 
subsidy caps, improving the Alternative EAS program, increasing 
the Small Community Air Service Development Program annual 
authorization level from $10 million to $15 million while 
prioritizing applications that restore flights that have been 
lost or substantially reduced, and boosting Airport Improvement 
Program funding to $4 billion per year and revising the 
apportionment formulas which increased annual formula funds for 
both large and small airports.
    Finally, we can all agree that airline passengers, 
regardless of whether they are flying into a major hub or a 
nonhub airport in their small communities, deserve one level of 
safety. This means maintaining and improving the similar pilot 
training requirements, aircraft certification standards, air 
traffic control staffing and technology, safety data tracking, 
and other tools that we use to keep the National Airspace 
System safe.
    Thank you again to our witnesses. You all play a very 
critical role in ensuring continued service to small and rural 
communities.
    And I yield back.
    [Mr. Carson's prepared statement follows:]

                                 
  Prepared Statement of Hon. Andre Carson of Indiana, Ranking Member, 
                        Subcommittee on Aviation
    Good morning. Chairman Nehls, Chairman Graves, and Ranking Member 
Larsen, it's an honor to be here for our first Aviation Subcommittee 
hearing this year. Welcome to our witnesses for joining today's hearing 
on current trends, opportunities and challenges facing small 
communities and rural commercial service airports.
    Air service for small and rural communities is important to many 
Members on this Committee. While Indianapolis International Airport is 
the 46th busiest airport in the United States, there are four airports 
in Indiana that have Essential Air Service (EAS) determinations for 
routes that connect through Chicago O'Hare Airport.
    The 2024 FAA Reauthorization is actively creating a positive 
economic impact on small and rural communities through:
      the preservation of the EAS Program and raising the per 
passenger subsidy caps;
      improving the Alternative EAS program;
      increasing the Small Community Air Service Development 
Program (SCASDP) annual authorization level from $10 million to $15 
million while prioritizing applications that restore flights that have 
been lost or substantially reduced; and
      boosting Airport Improvement Program (AIP) funding to $4 
billion per year and revising apportionment formulas which increased 
annual formula funds for both large and small airports.

    Unfortunately, the administration's FY27 budget request guts EAS 
funding and proposes changes that have not been fully vetted or 
approved by this Committee. Congress appropriated $513.6 million for 
EAS in FY26. Yet, the administration's FY27 budget request is just $142 
million--that's a $371.2 million cut.
    This is despite the fact that Congress has continued to demonstrate 
its bipartisan support for EAS and the critical service it provides to 
communities that need it most. For example, the House Appropriations 
Committee is currently proposing an increase of almost $25 million to 
the EAS program. This is because Congress has listened to these 
communities and wants to preserve this critical lifeline that benefits 
communities all across this country.
    Today's hearing will also address the impact of workforce issues on 
small and rural communities. To start with, the pilot pipeline is in a 
much different place today than it was a few years ago. Regional 
airlines, as well as larger airlines, have listened to pilots and 
increased pay and benefits leading to better hiring and retention. 
Getting hired by airlines is more competitive today as a result.
    Nonetheless, we must not decrease our standards to increase the 
supply for this increased demand. Instead, we must address the rising 
costs associated with training that have made becoming a qualified 
pilot harder. The current commercial pilot training requirements are 
critical to aviation safety, which is why I support initiatives to make 
it a level playing field and remove cost as a barrier through grants 
and reforms to student loan eligibility, and why I oppose the 
administration's proposals to limit federal student loans for some of 
the programs that produce the most qualified pilots.
    We also have huge gaps in other parts of the aviation workforce 
like aircraft mechanics, ground crews and air traffic controllers. In 
mid-May, the Federal Aviation Administration (FAA) announced that it is 
accepting applications for Aviation Workforce Development Grants for 
Aircraft Pilots and Aviation Maintenance Technical Workers--also known 
as the Section 625 grants. Congress reauthorized these grants in the 
2024 FAA Reauthorization Act, and we are happy to finally see this 
Notice of Funding Opportunity--even though it took 18 months too long. 
I encourage eligible applicants to apply by the June 22 deadline.
    Finally, we can all agree that all airline passengers--regardless 
of whether they are flying into a major hub or a non-hub airport in 
their small community--deserve one level of safety. This means 
maintaining and improving the similar pilot training requirements, 
aircraft certification standards, air traffic control staffing and 
technology, safety data tracking and other tools that we use to keep 
the National Airspace System safe.
    Thank you again to today's witnesses; you all play an important 
role in ensuring continued service to small and rural communities. I 
look forward to our discussion, and I yield back.

    Mr. Nehls. The gentleman yields.
    I now recognize the chairman of the full committee, Mr. 
Graves, for 5 minutes.

  OPENING STATEMENT OF HON. SAM GRAVES OF MISSOURI, CHAIRMAN, 
         COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

    Mr. Graves. Thank you, Chairman Nehls.
    And I want to thank our witnesses for all being here.
    Last year, Congress passed and the President signed into 
law a historic $12\1/2\ billion investment in our Nation's 
aviation infrastructure, an accomplishment that I was very 
proud to have led in the House. That investment is already 
delivering meaningful results, as has been pointed out today: 
deploying new radars, replacing communications infrastructure, 
deploying airport surveillance systems, and hiring a record 
number of air traffic controllers.
    There is more to be done, and additional investments are 
needed to complete this modernization effort. I am committed to 
working with the administration and my colleagues to identify 
the remaining needs and find a vehicle to secure those 
resources that are going to be needed to finish the job.
    We must continue to build upon the momentum initiated by 
last year's historic investment and expeditiously roll out the 
most modern and safest aviation system possible. Whether they 
support commercial passenger service or provide publicly 
accessible facilities for general aviation pilots, airports are 
pillars of our community that drive economic growth and improve 
the quality of life in all of our communities.
    Critically, small airports are also the primary training 
ground for pilots. We must protect and preserve our freedom to 
fly for everyone, whether they are operating a personal 
aircraft, or conducting business aviation, or traveling as 
passengers on commercial airlines.
    That is why I am proud that this committee worked in a very 
bipartisan fashion to pass the FAA Reauthorization Act of 2024, 
and we continue to conduct strong oversight of its 
implementation. This bipartisan law made important reforms to 
the aviation sector by addressing workforce challenges, 
improving passenger experience, establishing the first-ever 
general aviation title, and increasing financial support for 
our airports nationwide.
    And, with that, Mr. Chairman, I yield back.
    [Mr. Graves' prepared statement follows:]

                                 
Prepared Statement of Hon. Sam Graves of Missouri, Chairman, Committee 
                  on Transportation and Infrastructure
    Last year, Congress passed and President Trump signed into law a 
historic $12.5 billion investment in our nation's aviation 
infrastructure--an accomplishment I am proud to have led in the House. 
That investment is already delivering meaningful results--deploying new 
radars, replacing communications infrastructure, deploying airport 
surveillance systems, and hiring record numbers of air traffic 
controllers.
    There is more work to be done, and additional investments are 
needed to complete this modernization effort. I am committed to working 
with the Trump administration and my colleagues to identify the 
remaining needs and a vehicle to secure the resources required to 
finish the job.
    We must continue to build upon the momentum initiated by last 
year's historic investment and expeditiously roll out the most modern 
and safest aviation system possible. Whether they support commercial 
passenger service or provide publicly accessible facilities for general 
aviation pilots, airports are pillars of communities that drive 
economic growth and improve quality of life in their communities.
    Critically, small airports are also the primary training ground for 
pilots. We must protect and preserve the freedom to fly for everyone--
whether they are operating a personal aircraft, conducting business 
aviation, or traveling as passengers on commercial airlines.
    That is why I am proud this committee worked in a bipartisan 
fashion to pass the FAA Reauthorization Act of 2024, and we continue to 
conduct strong oversight of its implementation.
    This bipartisan law made important reforms across the aviation 
sector by addressing workforce challenges, improving passenger 
experience, establishing the first ever general aviation title, and 
increasing financial support for airports nationwide.

    Mr. Nehls. The gentleman yields.
    I now recognize the ranking member of the full committee, 
Mr. Larsen.

 OPENING STATEMENT OF HON. RICK LARSEN OF WASHINGTON, RANKING 
     MEMBER, COMMITTEE ON TRANSPORTATION AND INFRASTRUCTURE

    Mr. Larsen of Washington. Thank you, Chair Nehls and 
Ranking Member Carson, for holding today's hearing, 
``Connecting Rural America to the National Airspace System.''
    I want to thank the witnesses for joining us today, and we 
have plenty to discuss, so I look forward to your testimony.
    Airports are vital economic engines that power our local 
communities, especially in small and rural ones--many of the 
ones I represent. They serve as critical transportation hubs to 
safely bring people together. This will be important in the 
coming weeks as fans travel across the country and from around 
the world to watch their favorite teams in the World Cup. We 
look forward to welcoming them to the Pacific Northwest, where 
Seattle and Vancouver will be hosting 13 of those games.
    Airports also generate good jobs, stimulate local 
businesses, and attract financial investment. A 2025 Airports 
Council International-North America study found that airports 
with commercial service support 12.8 million jobs and produce 
$1.8 trillion of annual output.
    In my district, we have a few small airports, ranging from 
Arlington Municipal Airport in my hometown, which dates to 
1934; Orcas Island Airport; Lopez Island Airport; Friday Harbor 
Airport; Skagit Regional Airport--I don't want to forget--
Concrete Airport. There are a few more as well. They are all 
going to call me and tell me I forgot to name them.
    Congress recognized the importance of small and rural 
airports when we passed the 2024 FAA reauthorization. The law 
increases funding for the Airport Improvement Program to $4 
billion annually, of which at least $150 million must be spent 
on airport climate, noise, or other environmental projects. The 
law also improves the lives of neighboring airport communities 
by requiring the FAA to develop a plan to transition away from 
leaded fuel in general aviation by 2030.
    So, whether connected via regional airlines, charter 
flights, or general aviation, these small and rural hubs serve 
as alternatives to overburdened metropolitan airports.
    Unfortunately, regional and value airlines face specific 
challenges, ranging from workforce issues to surging fuel 
prices.
    Many of you mentioned in your testimony that increased 
demands on the NAS have also increased demand for a skilled 
aviation workforce.
    Mr. Collins, you specifically mentioned the need for more 
aviation maintenance technicians, while other witnesses 
referenced the increased competition for pilots.
    To meet these needs without decreasing our safety 
standards, Congress, the FAA, and stakeholders must expand the 
talent pipeline and improve efforts to recruit, train, and 
retain a robust U.S. aerospace workforce from every part of our 
society.
    To address this, the 2024 reauthorization invests $60 
million annually in Aviation Workforce Development Grants to 
train the next generation of aviation manufacturing workers, 
airport maintenance technicians, and pilots. In the Pacific 
Northwest and across this country, aviation means jobs that pay 
well and are key to long-term economic growth, and I encourage 
the FAA to quickly implement these programs and distribute 
these grants in a timely manner.
    Ms. Black, your testimony also touches upon small aircraft 
economics and how increased operation costs have led regional 
carriers to use larger, more efficient planes.
    Mr. Collins and Mr. Pecoraro, you both explained that a 
factor contributing to this trend is the lack of regional jet 
manufacturing pipelines. There just aren't as many options for 
new fuel-efficient regional jets. It is a challenge that the 
Pacific Northwest is up to tackling.
    To help meet these regional aircraft needs, the 2024 bill 
directed the FAA to bring on much-needed expertise in its 
Aircraft Certification Office. We have to maintain the 
certification office's institutional knowledge to meet the 
requirements of the aircraft certification reform law and grow 
the agency's technical expertise to better assess new designs. 
In this way, when new regional aircraft are designed and 
proposed, staff at the FAA are there to support that 
innovation.
    Finally, we can't talk about the small and rural 
connectivity of airports without discussing how the President's 
actions in Iran have spiked fuel prices, specifically jet fuel.
    In general, fuel expenses account for a larger share of air 
carrier budgets than most other industries, making them 
particularly vulnerable to price fluctuations. Exacerbating 
this issue, smaller regional and value air carriers have fewer 
resources than their larger counterparts to absorb these rising 
operational costs.
    Consequently, the drastic increase in jet fuel prices 
places a unique financial burden on regional and value 
airlines, often forcing these carriers to reduce flight 
frequencies, further eliminate routes, or increase ticket 
prices. This directly impacts small and rural communities 
through rising travel costs or a loss of service altogether.
    We can't allow this to happen, and the President needs to 
resolve this fuel price crisis of his own making.
    As this committee considers the future of rural aviation 
and small community connectivity, we have to continue investing 
in the airports, in the workforce, and in the innovation that 
keeps our communities connected to the NAS. We can't ignore the 
economic pressures facing regional carriers, including rising 
fuel costs that threaten service to the very communities that 
depend upon it most.
    So, I look forward to the hearing today and hearing from 
today's witnesses on how we can help strengthen rural 
connectivity, uphold our safety standards, and support American 
aviation and innovation.
    Thank you.
    [Mr. Larsen of Washington's prepared statement follows:]

                                 
 Prepared Statement of Hon. Rick Larsen of Washington, Ranking Member, 
             Committee on Transportation and Infrastructure
    Thank you, Chairman Nehls and Ranking Member Carson, for holding 
today's hearing on ``Connecting Rural America to the National Airspace 
System.''
    Thank you to the witnesses for joining us today. We have plenty to 
discuss, and I look forward to your testimony.
    Airports are vital economic engines that power our local 
communities--especially small and rural ones--and serve as critical 
transportation hubs to safely bring people together.
    This will be important in the coming weeks as fans travel across 
the country to watch their favorite teams in the World Cup. We look 
forward to welcoming them to the Pacific Northwest, where Seattle and 
Vancouver will be hosting games.
    Airports also generate good jobs, stimulate local businesses and 
attract financial investment.
    A 2025 Airports Council International-North America study found 
that airports with commercial service support 12.8 million jobs and 
produce $1.8 trillion of annual output.
    In my district, we have a few small airports, ranging from 
Arlington Municipal Airport--which dates to 1934--to Orcas Island 
Airport, which serves the communities of San Juan and Island Counties.
    Congress recognized the importance of small and rural airports when 
we passed the 2024 FAA reauthorization.
    The law increases funding for the Airport Improvement Program (AIP) 
to $4 billion annually, of which at least $150 million must be spent on 
airport climate, noise and other environmental projects.
    The law also improves the lives of neighboring airport communities 
by requiring the FAA to develop a plan to transition away from leaded 
fuel in general aviation by 2030.
    Whether connected via regional airlines, charter flights, or 
general aviation, these small and rural hubs serve as alternatives to 
overburdened metropolitan airports.
    Unfortunately, regional and value airlines face specific challenges 
ranging from workforce issues to surging fuel prices.
    Many of you mention in your testimony that increased demands on the 
NAS have also increased demand for a skilled aviation workforce.
    Mr. Collins, you specifically mention the need for more aviation 
maintenance technicians, while other witnesses reference the increased 
competition for pilots.
    To meet these needs without decreasing our safety standards, 
Congress, the FAA and stakeholders must expand the talent pipeline and 
improve efforts to recruit, train and retain a robust U.S. aerospace 
workforce from every part of our society.
    To address this, the 2024 reauthorization invests $60 million 
annually in aviation workforce development grants to train the next 
generation of aviation manufacturing workers, aircraft maintenance 
technicians and pilots.
    In the Pacific Northwest and across the country, aviation means 
jobs that pay well and are key to long-term economic growth--I 
encourage the FAA to quickly implement these programs and distribute 
these grants in a timely manner.
    Ms. Black, your testimony also touches upon small aircraft 
economics--and how increased operation costs have led regional carriers 
to use larger more efficient planes.
    Mr. Collins and Mr. Pecoraro, you both explain that a factor 
contributing to this trend is the lack of a regional jet manufacturing 
pipeline--there just aren't as many options for new fuel-efficient 
regional jets.
    This is a challenge the Pacific Northwest is up to tackling.
    To help meet these regional aircraft needs, the 2024 FAA 
Reauthorization directed the FAA to bring on much needed expertise in 
its aircraft certification office.
    We have to maintain the certification office's institutional 
knowledge to meet the requirements of the aircraft certification reform 
law and grow the agency's technical expertise to better assess new 
designs.
    This way, when new regional aircraft are designed and proposed, 
staff at the FAA are there to support that innovation.
    Finally, we can't talk about small and rural connectivity without 
discussing how the President's actions in Iran have spiked fuel 
prices--specifically jet fuel.
    In general, fuel expenses account for a larger share of air carrier 
budgets than most other industries, making them particularly vulnerable 
to price fluctuations.
    Exacerbating this issue, smaller regional and value air carriers 
have fewer resources than their larger counterparts to absorb these 
rising operating costs.
    Consequently, the drastic increase in jet fuel prices places a 
unique financial burden on regional and value airlines, often forcing 
these carriers to reduce flight frequencies, further eliminate routes 
or increase ticket prices.
    This directly impacts small and rural communities through rising 
travel costs or a loss of service altogether.
    We can't allow this to happen. The President needs to resolve this 
fuel price crisis of his own making.
    As this committee considers the future of rural aviation and small 
community connectivity, we must continue investing in the airports, 
workforce and innovation that keep our communities connected to the 
NAS.
    We also cannot ignore the economic pressures facing regional 
carriers, including the rising fuel costs that threaten service to the 
very communities that depend on it most.
    I look forward to hearing from today's witnesses about how we can 
help strengthen rural connectivity, uphold our safety standards and 
support American aviation.

    Mr. Nehls. The gentleman yields.
    I will briefly take a moment to explain our lighting 
system--you guys have been here before. Just keep your remarks 
to 5 minutes, okay?
    I ask unanimous consent that the witnesses' full statements 
be included in the record.
    Without objection, so ordered.
    I also ask unanimous consent that the record of today's 
hearing remain open until such time as our witnesses have 
provided answers to any questions that may be submitted to them 
in writing.
    Without objection, so ordered.
    I also ask unanimous consent that the record remain open 
for 15 days for any additional comments and information 
submitted by Members or witnesses to be included in the record 
of today's hearing.
    Without objection, so ordered.
    And as your written testimony has been made part of the 
record, the subcommittee asks that you limit your oral remarks, 
again, to 5 minutes.
    With that, Ms. Black, you are recognized.

TESTIMONY OF FAYE MALARKEY BLACK, PRESIDENT AND CHIEF EXECUTIVE 
   OFFICER, REGIONAL AIRLINE ASSOCIATION; SHAWN DOBBERSTEIN, 
   A.A.E., EXECUTIVE DIRECTOR, HECTOR INTERNATIONAL AIRPORT, 
 FARGO, NORTH DAKOTA, ON BEHALF OF THE AMERICAN ASSOCIATION OF 
    AIRPORT EXECUTIVES; DERRICK COLLINS, DIRECTOR, PHYSICAL 
  INFRASTRUCTURE, U.S. GOVERNMENT ACCOUNTABILITY OFFICE; AND 
   GREGORY PECORARO, PRESIDENT AND CHIEF EXECUTIVE OFFICER, 
        NATIONAL ASSOCIATION OF STATE AVIATION OFFICIALS

TESTIMONY OF FAYE MALARKEY BLACK, PRESIDENT AND CHIEF EXECUTIVE 
             OFFICER, REGIONAL AIRLINE ASSOCIATION

    Ms. Malarkey Black. Thank you, Chairman, Ranking Member, 
members of the subcommittee. Thanks for holding this hearing 
today, and thanks for the opportunity to be here.
    Last year, regional airlines flew one in three departures 
and served almost all U.S. airports. We fly to communities of 
all sizes, but for two-thirds of the Nation's airports, we 
provide the only source of scheduled commercial air service. 
That service connects people to healthcare, colleges, military 
bases, and loved ones. It supports $153 billion in yearly 
economic output and about 1 million jobs.
    But rural America still doesn't have the air service that 
it needs. A pilot shortage that predated the pandemic worsened 
after it, forcing regional airlines to park about one-quarter 
of the fleet and pushing small community air service into 
crisis.
    Today, overall service is up, but passengers don't 
experience air service in the aggregate; they experience 
whether their local airport still has the schedules and 
destinations that meet their needs.
    Today, 193 airports have fewer flights than before the 
pandemic, and the average loss at those airports is 31 percent 
of their flights. Thirty-five have lost more than half their 
flights, 14 airports have gone dark completely, and smaller 
airports are fairing the worst.
    Several forces are driving this.
    First, infrastructure. Safety is a foundation of everything 
we do, and air traffic control modernization is foundational to 
safety. I am a member of the Modern Skies Coalition, and I 
support its goals. We cannot leave rural airports behind.
    The focus on DCA is necessary. The families who lost loved 
ones last year deserve nothing less. That same vigilance 
belongs everywhere.
    Each day, our members fly into small airports, contract 
towers, and nontowered fields with GA, medical, and military 
flights and without the situational-awareness tools that are 
standard elsewhere.
    We ask Congress to extend risk-based airport safety 
reviews, equip contract towers with digital tools so 
controllers don't separate traffic solely by looking out the 
window. And we ask Congress to require radio communication at 
nontowered fields, where it is recommended today but not 
required.
    I thank this committee for embracing ACAS X. It is the 
future of collision-avoidance technology. It depends on ADS-B 
In, which gives pilots a real-time picture of nearby traffic. 
We support both.
    And we need to be clear-eyed about the timeline. Some 
suggest ADS-B In is ready fleetwide now and that only ACAS X is 
the long-lead technology. That is not accurate. Both need 
aircraft-specific development, certification, installation, and 
supply chains that carriers don't control.
    That is why we support a right-now safety bridge through 
electronic flight bags that are mounted in the flight deck. 
They can be used on every flight, fixed in the pilot's line of 
sight, and an aircraft cannot dispatch without one. EFBs can 
deliver ADS-B In with traffic awareness and surface awareness 
and visual and audible alerts as in-panel systems mature. We 
should not wait years for safety we can deploy almost now.
    Second, workforce. Communities can't get air service 
without pilots. Supply is more stable now than before, but the 
underlying shortage remains. Earlier this year, mainline hiring 
again outpaced new pilot certifications, and we haven't yet 
fully rebuilt lost air service. And more than one-quarter of 
the workforce must retire within a decade.
    The pipeline is not keeping up, and one reason is cost. 
Flight education inherently costs more than other degrees, and 
Federal loans fall about $80,000 short, on average. Students 
without wealth are locked out. Congress can help by aligning 
Federal student aid with the cost of flight training and 
allowing GI benefits to cover private pilot certificates.
    We also support raising the pilot retirement age. It was 
last raised in 2007 with no safety harm, and pilots already 
undergo frequent, rigorous testing. This won't end the 
shortage, but it will help, and it is the right thing to do.
    Safety depends on pilots being prepared for commercial 
flight. We are pleased the FAA advanced the congressionally 
directed Enhanced Qualification Program. Its safety value lies 
in the quality, relevance, and rigor of the training, and FAA 
should implement it with clear, standardized guidance.
    Next, aircraft. Small communities need aircraft size to 
their markets. Oversized aircraft reduce frequency and reduce 
routes. Congress should be aware that scope clauses do restrict 
the size, weight, and number of aircraft regionals can fly.
    Finally, Federal programs. EAS preserves service to many 
rural communities, and it drove $2.3 billion in economic 
activity per year before the pandemic. We urge full funding, 
stable contracts, and timely transitions. SCASDP is another 
tool to attract and keep air service, and we support it.
    We appreciate your focus on rural connectivity, and we hope 
you see us as a partner in the work ahead. Thank you for 
holding this hearing and for including me in it. I look forward 
to your questions.
    [Ms. Malarkey Black's prepared statement follows:]

                                 
    Prepared Statement of Faye Malarkey Black, President and Chief 
            Executive Officer, Regional Airline Association
    Mr. Chairman, Ranking Member, and Members of the Subcommittee, 
thank you for the opportunity to testify today on behalf of the 
Regional Airline Association.
                  The Importance of Rural Air Service
    Last year, regional airlines operated approximately one in three 
scheduled passenger departures in the United States and served 94 
percent of the nation's commercially served airports. By contrast, 
larger, mainline carriers directly served just 36 percent. This means 
that for two-thirds of our nation's airports, regional airlines provide 
the only scheduled, commercial air service available. Without them, 
much of the country would lose access to the national air 
transportation system altogether.
    Regional aviation is how residents in smaller communities reach 
medical specialists, universities, military installations, customers, 
suppliers, and family members. It is how businesses stay connected to 
markets, how employers recruit, how rural communities remain 
accessible, and how smaller cities participate in the national economy.

Figure 1. Regional Airlines and the National Air Service Footprint (48 
                           Contiguous States)
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    Regional air service to small communities also generates 
substantial national economic activity. Across hundreds of communities 
nationwide, regional air service supports approximately $152.8 billion 
in annual economic output, 1.1 million jobs, and $41.3 billion in wages 
and earnings.\1\
---------------------------------------------------------------------------
    \1\ Lindemuth, Z., Meehan, D., Swelbar, W., & Zhong, A. (2021, 
August). Economic Impact of Small Community Airports [Report].
---------------------------------------------------------------------------
    Regional air service also provides value beyond the local market 
itself. Many passengers traveling from smaller communities ultimately 
connect through larger hub airports before continuing elsewhere in the 
network. Those passengers help support the hub-and-spoke system that 
underpins air transportation in the United States. As a result, 
decisions about regional air service are not just local, but relate to 
the flow of passengers throughout the network and the ability of 
airlines to connect smaller communities to the hubs and beyond.
    Over the past fifteen years, and most acutely after the pandemic, 
regional aviation absorbed a major structural shock. A severe, 
sustained pilot shortage that was present before the pandemic became a 
crisis in its aftermath. Regional airlines are typically the career 
entry point for the pilot workforce, and mainline carriers hired 
aggressively from regional airline ranks when rebuilding their own 
workforce after pandemic exits. Because the pilot pipeline had already 
been straining, regional operators lost pilots faster than the system 
could replace them, leading to multiple bankruptcies, liquidations and 
an enormous fleet contraction.

Figure 2. Thirteen Regional Airline Bankruptcies or Liquidations Since 
                                  2009
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    As regional airlines parked more than a quarter of the industry's 
fleet without enough pilots available to operate them, departures and 
destinations plunged at individual communities across the nation, most 
pronouncedly at small and rural airports. These communities watched 
their access to the national network erode, even while aggregate 
numbers showed recovery.
    Much of that lost service has not come back. Sometimes, we hear 
that loss being characterized through a deceptively simple lens: if 
passengers truly valued the service, every traveler would use it, and 
the market would sustain it. That explanation overlooks many of the 
forces that shape air service decisions and connectivity. Passengers 
respond to the network available to them. When departures fall, 
frequency falls. When destination options are eliminated, connectivity 
is weakened. When schedules no longer support convenient connections, 
travel behavior changes. Some trips are never taken, and some 
passengers with the time, means, and flexibility to do so drive farther 
to larger airports. Those outcomes are sometimes mistaken for consumer 
preference, but often the reality is the system lost operational 
capacity first, airports lost meaningful connectivity next, and 
passenger behavior and industry economics evolved in response. 
Unfortunately, long-distance driving is often portrayed as a neutral 
substitute for lost air service, even when it means several hours on 
the road in difficult weather, reduced access for elderly or medically 
vulnerable passengers, economic stagnation for rural communities, and 
substantially weaker connectivity for the Americans who live there.
    Air service connectivity also has safety implications. When 
communities lose practical access to air service, more travel is 
shifted onto the highway system, where NHTSA data indicates 39,254 
people lost their lives in 2024.\2\ This impact is worse for rural 
citizens. In 2023, the most recent year for which rural breakdowns are 
available, NHTSA found that rural roads carried a fatality rate 
approximately 1.5 times higher than urban roads, and that 41 percent of 
highway fatalities occurred on rural roads despite only 20 percent of 
Americans living in rural areas.\3\ Maintaining air service in smaller 
communities is therefore not only an economic issue; it is also part of 
a safer transportation system.
---------------------------------------------------------------------------
    \2\ National total: NHTSA, early/annual traffic fatality data for 
2024 (39,254 fatalities; rate 1.19 per 100M VMT).
    \3\ Rural figures: NHTSA, Rural/Urban Traffic Fatalities: 2023 
Data, Report No. DOT HS 813 728.
---------------------------------------------------------------------------
                       Summary of Recommendations
    The following is a summary of RAA's recommendations to ensure air 
service connectivity for rural America, which are outlined in greater 
detail in my written statement:
Extend Air Traffic Control (ATC) Modernization and Safety Enhancements 
        to Airports of All Sizes
    Extend risk-based, comprehensive airport safety reviews to all 
airports with a substantial mix of commercial, general aviation, 
business, and military traffic. Close-proximity events have occurred at 
smaller airports that lack radar, Automatic Dependent Surveillance-
Broadcast-In (ADS-B In), or other situational-awareness tools.
    Pass H.R. 8597, the Air Traffic Situational Awareness Enhancement 
Act. This would mandate installation of Airborne Position Reference 
Tools (APRT) at contract towers lacking advanced situational-awareness 
systems.
    Require Common Traffic Advisory Frequency (CTAF) communication near 
mixed-use airports. Such communication is recommended but not required 
today, creating risk at smaller airports.
    Require use of ADS-B In and authorize the use of Electronic Flight 
Bag (EFB) based ADS-B In as in-panel ADS-B In and Airborne Collision 
Avoidance System X (ACAS-X) are developed and commercialized for all 
commercial aircraft. EFB solutions can deliver safety improvements 
near-term, while in-panel ADS-B In and ACAS-X depend on manufacturing 
and certification timelines outside carrier control.
Protect Small Community Air Service
    Fully fund the Essential Air Service (EAS) program. EAS preserves a 
baseline of critical air service connectivity for many communities.
    Reassess whether Small Community Air Service Development Program 
(SCASDP) funding levels remain adequate. Rising costs have meant grant 
dollars to help communities attract service do not go as far as they 
once did.
    Examine tools to sustain service aber SCASDP grants end. SCASDP 
helps build the market, but some communities struggle to sustain 
service when margins remain fragile. Expanded funding, stronger 
transition tools, or other targeted connectivity supports could help 
communities maintain service once an initial grant period closes.
Support Tomorrow's Aviation Workforce
    Build on the FAA Reauthorization Act's maintenance workforce 
foundation. Maintenance shortages affect aircraft utilization, 
reliability, and small-community service.
    Align federal student aid with the cost of accredited flight 
training. Flight training costs exceed current federal student loan 
limits by $80,000 on average, blocking capable students without wealth 
or credit from pilot careers.
    Modernize GI Bill eligibility for pilot training. Current rules 
disallow use of earned benefits for the private pilot certificate--the 
first required certificate.
                     Regional Airline Partnerships
    Regional airlines reach communities that larger mainline aircraft 
often cannot economically or operationally serve directly. Most 
regional airline flying in the United States occurs under Capacity 
Purchase Agreements (CPAs), where regional airlines operate flights on 
behalf of larger network carriers. Under CPAs, the major airline 
partner generally controls network planning, ticket pricing, 
scheduling, and fuel purchasing, while the regional carrier provides 
the crews, maintenance, and operational execution using aircraft that 
may be owned or leased by either the major airline partner or the 
regional airline itself. Other regional airlines operate under a pro-
rate model, where the airline retains ticket revenue directly and bears 
substantially greater exposure to fuel prices, demand fluctuation, and 
rising operating costs.

                Figure 3. Regional Airline Partnerships
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


                        Small Aircraft Economics
    The economics of serving smaller communities differ from those of 
larger hub markets. Smaller aircraft have fewer seats over which to 
distribute operating costs, making lower-density routes inherently more 
sensitive to changes in labor, maintenance, airport, financing, fuel, 
and infrastructure costs on a per-passenger basis.
    The pilot shortage intensified those pressures. Regional airlines 
made substantial increases in pilot compensation to attract qualified 
aviators in an extraordinarily competitive labor market. These 
investments were positive and helped to attract more candidates, but 
also materially increased the cost of operating smaller aircraft 
serving lower-density markets.
    Fuel costs present another challenge. While the major airline 
partner purchases fuel under CPA flying, prices still influence broader 
network economics and decisions regarding aircraft deployment. Carriers 
operating under prorate arrangements face more direct exposure to fuel 
price volatility. Rising costs do not always result in the complete 
elimination of service, but they can affect the economics of operating 
smaller aircraft in lower-density markets, weakening margins that are 
already thin.
    When starting or restoring regional air service after a disruption, 
the economics are not limited to the route itself. Airlines must build 
local operations, secure facilities and ground equipment, establish 
fuel and handling arrangements, staff the station, support marketing 
and community awareness, and integrate the service into the broader 
network. These startup and transition costs can be substantial, 
particularly in rural markets served by one or only a few carriers. For 
these same reasons, once service is lost, restoring it is often more 
difficult and more expensive than preserving it in the first place.
    Decisions about regional deployment are almost always made by the 
network carrier, including where and how flights are scheduled. But 
regional airlines view these communities as far more than just assigned 
destinations. We know that when small communities lose service, it 
disrupts lives, isolates communities, and weakens the well-being of 
working families across the country. When regional air service is 
added, travel opportunities expand for the same population, rural 
economies benefit, and the people who live there become better 
connected with the world around them.
                           An Uneven Recovery
    For more than a decade, RAA has tracked changes in small-community 
and rural air service connectivity, and published quarterly updates as 
the pilot shortage deepened, to better understand how individual 
communities were being affected. We tracked a sharp deterioration in 
air service alongside regional airline industry contraction during the 
height of the pilot shortage and post-pandemic recovery period. By 
2023, the number of airports receiving scheduled regional airline 
service had fallen to its lowest level in years.

         Figure 4. Airports Receiving Scheduled Airline Service
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    More recently, service levels have improved from that nadir, 
although the recovery has been uneven. In May 2026, overall departures 
and seats were up compared with May 2019, yet 193 airports still had 
less service than before the pandemic, down by an average of 31 
percent. Ninety airports lost at least a quarter of their service, 35 
lost more than half, and 14 lost service entirely. Small hubs as a 
category gained departures, but one in five small hub airports still 
had less service in May 2026 than in May 2019.
    Nonhub airports as a category are down just 2.5 percent, yet more 
than half of nonhub airports lost service, often significantly. Sixty-
three nonhub airports lost at least a quarter of their flights, 20 lost 
more than half of their flights, and two lost all air service. 
Nonprimary airports, the smallest commercial category, took the largest 
hit.
    Down as a category by 14.4 percent, 80 nonprimary airports lost 
service, with an average loss of 48.3 percent of flights.

     Figure 5. Recovery Is Underway_But Communities Are Still Down 
                           Meaningful Service
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    Seat counts can mask a subtler form of loss: a community can gain 
seats while losing the frequency and destinations that make air service 
useful. We began tracking this trend in 2009. Since then, seats have 
increased across every airport category, but departures have decreased 
in all of them. Destination options declined at all but the largest 
airports. The losses were sharpest at the smallest airports--nonprimary 
airports lost 32.2 percent of departures and 29.5 percent of their 
routes.

       Figure 6. Larger Aircraft Mean Fewer Departures and Routes
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]


    Ultimately, passengers do not experience air service in the 
aggregate--they experience whether the network still meets their needs. 
By that measure, the nation's air service network does not serve rural 
America nearly as well as it serves our urban centers.
              Pilot Supply and Small Community Air Service
    While costs, fleet availability, and network economics all played a 
role, workforce availability was the most significant constraint on 
regional air service during this period. The more closely RAA tracked 
service patterns, the clearer it became that the availability of pilots 
shaped the availability of air service--in both directions. As staffing 
pressures eased and regional airlines returned aircraft and crews to 
service, communities began to recover connectivity. Ultimately, 
communities cannot receive air service that airlines do not have the 
crews to operate.
    Today's environment continues to be more stable than the peak 
disruption period. But the underlying pilot shortage has not been 
resolved. As of May 2026, there were 128,161 Airline Transport Pilot, 
Airplane Multi-Engine Land (ATP AMEL) pilots with valid first-class 
medicals. More than 13 percent will reach mandatory retirement age 
within five years, and 41 percent within fifteen years.
    That retirement wave arrives before accounting for growth or even 
full restoration of communities' previously lost service. Current 
mainline hiring moderation has been influenced by temporary conditions, 
including delayed aircraft deliveries and slower fleet growth. Major 
airline hiring dropped 60 percent from 2023 to 2024 and 7 percent from 
2024 to 2025. However, in the first months of 2026, major airline 
hiring again began outpacing production of new qualified pilots.
    Meanwhile, the post-pandemic surge in pilot certification proved 
temporary, as predicted. New ATP AMEL issuances fell two years 
running--2025 produced 19 percent fewer than 2024 and 32 percent fewer 
than the 2023 peak. Early 2026 data points to a modest rebound: a 12-
month rolling average projects full-year output of roughly 7,984, above 
2025 but still below the 2022 pace and well short of the 2023 peak. 
While an influx of displaced Spirit pilots and other conditions may 
continue to ease pressure this year, they do not solve the long-term 
imbalance.

   Figure 7. Major Carrier Hiring vs. Qualified Pilot Production \4\
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

    New\\ pilot certification numbers also need careful interpretation. 
Since March 2020, 49,671 new ATP AMEL certificates have been issued, 
yet there are just 17,403 more ATP AMEL pilots in today's qualified 
pilot pool. In other words, only one in three new ATP certificates was 
net growth in the pilot pool.
---------------------------------------------------------------------------
    \4\ FAA Registry: AFB-730, Federal Aviation Administration; Hiring 
data: fapa.aero/pilot-hiring-history
---------------------------------------------------------------------------

            Figure 8. ATP-Certified Pilot Retirement Outlook
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

    Workforce demand has also evolved. Airlines now keep larger reserve 
staffing pools to cover weather, maintenance, illness, or other 
disruptions even when they are not scheduled to fly a particular trip. 
Training duties draw pilots out of revenue service for initial 
training, upgrades, recurrent training, instructor duties, and check 
airman responsibilities. And when aircraft are scheduled less 
intensively, the airline may need more aircraft and crew resources to 
produce the same number of trips due to increased non-productive time. 
Together, these changes mean the industry must produce more pilots just 
to sustain a level of service that once required fewer.
Fleet modernization is also central to small-community connectivity.
    While the pilot shortage was the dominant constraint reshaping 
regional aviation over the last decade, the aircraft available to serve 
smaller markets also changed significantly as older regional aircraft 
aged and replacement options became increasingly limited.
                        Scope Clause Constraints
    Regional airlines and their major airline partners have operated 
for years within a constrained aircraft environment shaped by scope 
clauses in major airline pilot-union contracts, which cap regional 
aircraft at 50, 70, or 76 seats, with an 86,000-lb takeoff weight 
limit. Today's most advanced, fuel-efficient jets have cleaner-burning, 
more efficient engines, which are heavier. The added weight causes 
modern regional jets to exceed the weight limits of every major airline 
scope clause.
    This has effectively frozen regional fleets at older propulsion 
technology and has deterred the broader development of next-generation 
regional aircraft outright. Aircraft manufacturers respond rationally 
to the market available to them. The United States is the largest 
regional jet market, and all regional flying operates under scope 
clause restrictions. Saab, Bombardier, British Aerospace, Beech, 
Fairchild-Dornier, and most recently Mitsubishi have all stopped 
investing in new regional aircraft, citing scope as the primary 
reason.\5\ The result is a structural gap in the regional fleet at 
exactly the aircraft size small communities need.
---------------------------------------------------------------------------
    \5\ Leeham News, ``The regional market and scope clauses'' (Jan. 
18, 2017); Reuters, Mitsubishi Heavy Industries, ``Notice of 
Discontinuation of SpaceJet Development Activities'' (Feb. 7, 2023); 
Bombardier, ``Bombardier Concludes Sale of the CRJ Series Regional Jet 
Program to Mitsubishi Heavy Industries'' (June 1, 2020); Saab, ``Saab 
340B''; Aviation Week, ``BAE Systems Cancels RJX'' (Nov. 28, 2001); 
Forecast International, ``Beech 1900'' (Aug. 2003), ``The Future of 
Regional Jets Dims as Mitsubishi Walks Away'' (Feb. 2016), et al.
---------------------------------------------------------------------------
    When airlines cannot access the right aircraft for the mission, the 
system tends to upgauge. That often means less frequency, fewer 
destinations, and reduced practical connectivity for some smaller 
communities. But larger, 76-seat aircraft are not a universal 
substitute for smaller regional aircraft: scope limitations restrict 
how many may be operated, and runway constraints, airport 
infrastructure, market size, and operating economics make them 
unsuitable for some communities, which simply lose air service 
altogether.
    In fact, many communities would be well-served by aircraft that 
fall between the smallest commercial aircraft and larger regional jets, 
particularly in the 19- to 30-seat range, yet the range of aircraft 
available in that segment has narrowed considerably over time. Emerging 
technologies may help in the future, but communities facing air service 
challenges today need aircraft that are available, certifiable, and 
economically viable now.
    Scope is a private-sector constraint with public-interest 
consequences. While we recognize that Congress does not dictate private 
contracts, scope clause constraints deserve greater attention in any 
serious discussion of small-community air service. They limit the 
industry's ability to modernize the regional fleet, improve fuel 
efficiency, reduce emissions, and serve small and rural routes with 
right-sized aircraft. Communities feel the consequences when the 
aircraft needed to serve them are no longer being built.
                   Policy and the Aviation Workforce
    RAA is grateful for this Committee's leadership on aviation 
workforce development, as well as your support for initiatives designed 
to strengthen aviation career pathways earlier in the education 
process.
    Pilot training is particularly expensive because flight education 
requires aircraft, fuel, maintenance, insurance, simulators, 
instructors, and FAA-regulated training infrastructure. These are not 
ordinary classroom costs. Flight training alone routinely costs well 
into six figures, and when combined with a degree program can leave 
students facing $200,000 or more in total education and training costs. 
While federal student aid can be used for accredited flight education 
programs, current loan limits were not designed to meet these costs, 
which exceed current federal student loan limits by roughly $80,000 on 
average, even where students are enrolled in accredited training 
programs and even where airlines provide substantial financing support 
and subsidy. Students using student loans will exhaust available 
financing long before completing the certifications and ratings 
necessary to enter the profession. For students without family wealth 
or access to private credit, that gap can be decisive. Capable young 
people are blocked from high-wage, high-demand aviation careers for no 
other reason than they cannot finance their education.
    Access to a pilot career should be determined by ability, 
discipline, and commitment, not family wealth or private financing. 
Congress has recognized this problem before, and bipartisan lawmakers 
and aviation stakeholders urged the Department of Education, through 
its RISE rulemaking, to make a targeted fix to increase federal loan 
access for flight education. Unfortunately, the Department declined to 
make changes to any program. RAA therefore asks Congress to send a 
clear signal through flight education access legislation aligning 
federal student aid with the real cost of accredited flight training.
    Veterans also represent an important aviation workforce pathway. 
Yet current GI Bill rules often prevent veterans from using earned 
educational benefits for all phases of training required to become 
professional pilots. RAA supports modernizing GI Bill eligibility so 
veterans can fully utilize earned benefits throughout the professional 
pilot training pathway, including for the private pilot certificate, 
which serves as the entry point to professional pilot training.
    The aviation maintenance workforce requires sustained attention as 
well. Aircraft maintenance technicians are foundational to aviation 
safety and operational reliability, and workforce shortages in 
maintenance increasingly affect aircraft utilization, operational 
resilience, and smaller-community connectivity.
    The FAA Reauthorization Act of 2024 took important steps to 
strengthen aviation maintenance workforce development through expanded 
grant eligibility and support for technician pipeline programs. 
Congress should continue building on that foundation through sustained 
funding, expanded testing access, stronger STEM integration, and 
policies that help veterans transition into civilian maintenance 
careers.
    RAA also supports raising the mandatory pilot retirement age to 67. 
The pilot retirement age was last raised in 2007 to age 65 with no 
negative safety impact. Raising it again would not solve the pilot 
shortage alone, but it would help preserve experienced aviators, soften 
near-term retirement pressure, and give the training pipeline more time 
to catch up. Canada, Australia, Japan, New Zealand, Argentina, the UK, 
and IATA are leading the effort at the International Civil Aviation 
Organization (ICAO). The U.S., one of ICAO's largest members, should 
retake our leadership mantle.
                       Pilot Training Advancement
    The industry needs a healthy pilot supply, and even more 
importantly, safety depends on pilots being prepared for the demands of 
modern commercial airline operations. RAA was pleased to see the FAA 
advance the Congressionally directed Enhanced Qualification Program 
(EQP) last month, reflecting the first material update to first officer 
training and qualifications since 2013. We applaud the FAA for moving 
this important safety work forward. As aircraft, technology, and 
operating environments continue to evolve, training and qualification 
pathways must keep pace. Complacency is not compatible with aviation 
safety.
    Today, many pilots complete highly structured foundational training 
and then spend a year or more accumulating additional aeronautical 
experience before entering airline training. During that period, pilots 
can spend extended time away from the structured, scenario-based, crew-
oriented training environment. Airlines have responded by expanding 
portions of initial training when pilots arrive with less recency of 
structured training.
    The EQP builds on these solutions by implementing recommendations 
from the FAA's Air Carrier Training Aviation Rulemaking Committee (ACT 
ARC), an expert ARC charged with evaluating how pilot training can 
better prepare pilots for modern airline operations. As described in 
the FAA's draft Advisory Circular, the EQP is designed for pilots 
seeking a Restricted Airline Transport Pilot certificate and includes 
substantial prerequisites, rigorous pilot assessment, and intensive 
integrated academic and flight training.
    The safety value of the EQP lies in the quality, relevance, and 
rigor of the training itself. The FAA should implement the program 
through clear, standardized guidance that provides carriers and 
training providers with consistent expectations, including how 
aeronautical experience credit is earned and applied. Consistent 
implementation standards will help ensure safety advancement, while 
ensuring the pathway can be adopted and administered as Congress and 
the FAA intended.
ATC Modernization and Safety Enhancements for All Airports and Airspace
    As a proud member of the Modern Skies Coalition, RAA strongly 
supports the historic investments Congress has made in ATC 
modernization this year and urges additional funding to complete the 
job. Replacing aging infrastructure, improving communications 
resiliency, installing modern surface awareness tools, and rebuilding 
the controller workforce are all essential steps toward strengthening 
the national airspace system. Because our members operate at more 
airports and in more categories of airspace than any other commercial 
airline sector, we hold a uniquely comprehensive view of the 
modernization needs in every category of airspace.
    Recent attention to aviation safety has understandably focused on 
high-profile events near major metropolitan airports. But risk in the 
national airspace system is not confined to large hubs. Every day, our 
members provide air service to mixed-use airports, contract tower 
airports, limited-service airports, and non-towered operational 
environments that still lack situational-awareness tools that are 
standard elsewhere in the system.
    RAA urges Congress to ensure modernization does not stop at the 
largest hubs. We strongly support a comprehensive approach to 
modernization and small-airport safety enhancement that reaches every 
part of the system serving commercial passengers. That includes 
equipping smaller and rural airports with practical situational-
awareness tools, modernizing contract towers that currently lack radar 
capability, strengthening communications infrastructure, and improving 
surface-detection and traffic-awareness technologies.
    RAA specifically supports deployment of Airborne Position Reference 
Tools (APRT) and similar ADS-B-based situational awareness technologies 
at contract towers that currently operate without radar displays. Many 
regional airline operations occur at airports where controllers are 
providing commercial traffic separation without access to the same 
tools available elsewhere in the system. H.R. 8597, the Air Traffic 
Situational Awareness Enhancement Act, is bipartisan legislation 
sponsored by Congressman Nick Begich (R-AK) and Congresswoman Laura 
Gillen (D-NY) that would require the FAA to install APRT at contract 
towers that lack advanced situational awareness systems, establish 
controller training requirements, authorize funding for the technology, 
and reimburse airports that have already invested in APRT systems. RAA 
urges Committee members to support H.R. 8597 and advocate for the 
inclusion of this important safety measure in legislation moving 
forward.
    RAA also supports improving operational awareness and communication 
standards at non-towered airports serving commercial traffic. Clear 
communication over Common Traffic Advisory Frequency (CTAF) can 
materially improve situational awareness in mixed-traffic environments 
where commercial aircraft, general aviation aircraft, military 
operations, medical flights, and other users may all be operating 
simultaneously. Today, pilots in Class D and E airspace are 
recommended, but not required, to communicate their position when 
operating near or at nontowered, mixed-use airports. This has led to 
close-proximity events requiring evasive maneuvers when pilots have 
failed to communicate their position. RAA supports legislative 
direction to require such CTAF communication.
    Beyond this specific gap, RAA urges Congress to extend federal 
safety reviews to the airports where mixed-traffic risk is present. 
Many airports with scheduled commercial service handle a substantial 
mix of commercial, general aviation, business, and military traffic. 
Many are non-towered, and some towered airports operate without radar, 
ADS-B In, or other situational-awareness tools.
    Modernization should also include practical pathways for 
implementing advanced safety technologies across regional fleets, 
including deployment of advanced collision-avoidance technologies 
across the National Airspace System. RAA applauds both the House-passed 
ALERT Act and the Senate-passed ROTOR Act and appreciates the 
leadership of the committees that advanced these important safety 
initiatives. Both bills recognize the value of expanding situational 
awareness and collision-avoidance capabilities following the tragic 
midair collision near Ronald Reagan Washington National Airport. While 
the two bills take different approaches, the House proposal merits 
special recognition for addressing the full range of National 
Transportation Safety Board (NTSB) safety recommendations and charting 
a path toward broader deployment of advanced collision-avoidance 
technology.
    ADS-B In and ACAS-X serve different but complementary safety 
functions. ADS-B In improves pilot situational awareness by providing 
better information about nearby traffic and airport-surface activity. 
ACAS-X builds on that foundation by providing automated collision-
avoidance protection. We believe ACAS-X presents the stronger safety 
advantage and represents the future of collision-avoidance protection 
for the commercial fleet.
    Achieving that objective requires a realistic implementation 
pathway. ACAS-X depends on ADS-B In, and both technologies require 
aircraft-specific product development, certification, integration, 
installation, testing, and training. For the regional fleet, integrated 
ADS-B In solutions are still being developed, just as ACAS-X solutions 
are still being developed. These are not simple software updates. Many 
regional aircraft were not originally designed around these systems, 
and integration, panel space, avionics architecture, aircraft-specific 
engineering, and supply-chain constraints can all affect deployment 
timelines. Those factors are outside carrier control.
    At the same time, meaningful safety improvements can and should 
begin immediately. Electronic Flight Bag-based ADS-B In solutions can 
provide weather and traffic situational awareness at all altitudes, 
visual and aural conflict alerting, and runway and surface awareness 
almost immediately. EFBs are FAA-approved, proven, and scalable, and 
pilots are trained and proficient on their applications. Aircraft may 
not take off without a fully functional EFB in the flight deck. While 
we believe EFB solutions should not replace integrated tools on a 
permanent basis, deploying them as a time-limited bridge today will 
produce meaningful safety improvement almost immediately while 
aircraft-specific ADS-B In and ACAS-X systems are developed. RAA asks 
that Congress and the FAA require a time-limited means of compliance 
through these near-term capabilities. We additionally ask that Congress 
require all aircraft, including military, business, and general 
aviation, to use this technology at all times, with reasonable, narrow 
exceptions for genuine national security concerns.

       Figure 9. Electronic Flight Bag Mounted in CRJ700 Aircraft
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

As ROTOR and ALERT move toward conference, it is important that the 
final law delivers both immediate safety benefits and a full 
integration timeline grounded in certification, engineering, and 
supply-chain realities. Those factors are outside carrier control and 
cannot be solved by operator effort alone. An unworkable safety or 
fleet mandate can unintentionally reduce the small-community air 
service Congress is trying to protect. At the same time, the challenge 
of getting the pathway right should not become a reason to delay or 
abandon these safety improvements. Congress can and should conference 
and pass a final collision-avoidance bill that delivers real, 
deployable safety benefits across the system.
                         Essential Air Service
    In 1978, Congress established the Essential Air Service (EAS) 
program to preserve scheduled air service to small and isolated 
communities in a deregulated market. Nearly five decades later, that 
need has not disappeared and the program continues to maintain a 
safeguard for many communities that would otherwise lose access to the 
national air transportation system. EAS is also a proven economic force 
multiplier. Before the pandemic, commercial air service at EAS airports 
generated approximately $2.3 billion in economic activity and supported 
more than 17,000 jobs nationwide.\6\
---------------------------------------------------------------------------
    \6\ Lindemuth et al., Small Community Airports.
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    We appreciate this Committee's longstanding, bipartisan support for 
the program and note that the House's Fiscal Year 2027 THUD bill again 
fully funds EAS. RAA urges committee members to support final passage 
of a Transportation appropriations bill that maintains full funding for 
the program.
    The experience of the past several years demonstrates both the 
value and the limits of EAS. The program helped preserve a baseline of 
connectivity for many communities that would have lost scheduled air 
service entirely during a period of intense disruption. But EAS 
communities were not immune to pilot shortages, reliability challenges, 
carrier exits, service gaps, or difficult transitions. That experience 
underscores the importance of protecting, fully funding, and 
administering the program in ways that support stable, reliable 
service.
    Most EAS contracts are awarded for a fixed term, often two years, 
with the Department of Transportation (DOT) setting a subsidy rate for 
that period. That structure preserves competition and lets communities 
and DOT revisit service options, but short terms can be challenging 
given the substantial startup costs described earlier, which a carrier 
must absorb before service can begin in a smaller market. Longer 
contract terms can help carriers spread those fixed costs over a more 
realistic period and give communities greater continuity. However, 
longer terms work best when contracts account for changing operating 
conditions. Fuel, labor, and other costs can increase significantly 
during the life of a contract. While Congress has previously authorized 
DOT to adjust EAS rates when those increases occur, our understanding 
is that it has not been meaningfully used in practice.
    Our members have also identified the timing of DOT contract awards 
and carrier transitions as an area where the program could be improved. 
Prolonged bidding timelines create uncertainty for communities and 
carriers, particularly when transitions are anticipated in advance, but 
decisions are delayed. Timely contract awards and well-managed 
transitions help communities and carriers plan effectively and reduce 
the risk of service disruptions.
    EAS works best when carriers can plan responsibly, communities can 
rely on continuity, and contract structures reflect the real costs of 
providing safe, reliable air service in smaller markets. Continued 
congressional funding remains the foundation of that stability, and RAA 
will continue to be a strong ally in protecting and strengthening the 
program.
    Not every struggling community can participate in EAS, so we 
believe Congress should continue to explore programs to support 
vulnerable communities that fall outside existing programs.
            Small Community Air Service Development Program
    One such tool is the Small Community Air Service Development 
Program (SCASDP), which helps communities, airports, airlines, and 
local stakeholders work together to attract, restore, and strengthen 
air service. Communities have used the program to support route 
development, marketing initiatives, revenue guarantees, and other 
partnerships that improve the viability of local air service. Its 
flexibility allows communities to pursue solutions tailored to their 
geographic, economic, and operational circumstances.
    The FAA Reauthorization Act of 2024 increased authorized funding 
for SCASDP to $15 million annually and directed DOT to prioritize 
communities that have experienced reductions in air service. That focus 
is well placed. The SCASDP program helps communities and airlines work 
together to prove a market, allowing stakeholders to share risk, build 
demand, and address connectivity challenges.
    Congress should consider whether additional funding would allow 
more communities to participate in this promising program, and whether 
funding levels have kept pace with rising costs associated with 
initiating new air service. Additionally, Congress might consider 
longer grants that would provide more time to allow markets to mature. 
While SCASDP helps communities prove and build a market, service can 
falter when grants end, if the underlying economics remain fragile. 
Congress should examine whether a brief funding extension, stronger 
transition tools, or other targeted supports could help communities 
sustain service after a grant period ends.
                   State and Local Partnership Models
    Several states have experimented with innovative public-private 
partnership models to support air service development. Wyoming and New 
Mexico, for example, have used programs that help communities and 
states share a portion of the financial risk associated with launching 
or rebuilding service. These approaches recognize that establishing 
service in a smaller market often requires time for passenger demand to 
mature. While not every route succeeds, risk-sharing models can help 
communities compete for service and create opportunities for markets to 
demonstrate their long-term viability.
                            The Path Forward
    Regional airlines have adapted through repeated periods of 
disruption, and air service has begun to recover in many places. But 
rural America still does not have the connectivity it needs.
    Regional airlines remain critical to restoring reliable access to 
the national air transportation system, and success in that effort will 
require continued commitment to aviation safety, a strong aviation 
workforce, modern infrastructure, and aircraft suited to smaller 
markets. Congress has an important role in each of these areas and the 
choices you make, as you lay the groundwork for the next FAA 
Reauthorization, will help determine whether small and rural 
communities can regain and sustain meaningful air service in the years 
ahead.
    RAA appreciates the Committee's focus on rural connectivity and 
hopes you will continue to view us as a committed partner in advocating 
for these communities.
    Thank you again for the opportunity to testify. I look forward to 
your questions.

    Mr. Nehls. Yes. Thank you, Ms. Black. And thank you for 
bringing up the pilot shortage. No question about it, but we--
we choose--Congress fires people at 65 and can't justify it for 
any reason whatsoever. There is nothing--no reason to justify 
terminating qualified pilots at 65.
    Anyway, I would like to next recognize Mr. Dobberstein.
    You are recognized, sir.

  TESTIMONY OF SHAWN DOBBERSTEIN, A.A.E., EXECUTIVE DIRECTOR, 
HECTOR INTERNATIONAL AIRPORT, FARGO, NORTH DAKOTA, ON BEHALF OF 
         THE AMERICAN ASSOCIATION OF AIRPORT EXECUTIVES

    Mr. Dobberstein. Chairman Nehls, Ranking Member Carson, and 
members of the subcommittee, thank you for the opportunity to 
testify today.
    My name is Shawn Dobberstein, and I serve as the executive 
director of Hector International Airport in Fargo, North 
Dakota, and as vice chair of the American Association of 
Airport Executives' Air Service Committee.
    I am here on behalf of airports that depend on reliable 
rural air service to connect their communities to the national 
economy, healthcare, education, and commerce.
    Thank you for the committee's dedication to addressing 
important aviation matters, especially your contributions to 
the 2024 FAA reauthorization law. This hearing is another 
example of this committee's commitment to improving aviation in 
communities both large and small. Thank you for your continued 
efforts.
    Rural air service remains under pressure. Recovery at many 
small communities lagged after the pandemic, and pilot 
shortages, higher operating costs, including fuel and airline 
fleet changes, have all made service harder to sustain.
    In many markets, airlines are using larger aircraft and 
offering fewer departures, which means fewer connection 
options, less schedule flexibility, and greater disruption when 
flights are delayed or canceled.
    At the same time, rural airports face a major 
infrastructure challenge. The Infrastructure Investment and 
Jobs Act provided historic airport funding, but that support 
ends after fiscal year 2026. Without follow-on investment, 
airports will face a sharp funding drop just as they are trying 
to modernize facilities, improve safety, and prepare for future 
demand, including new technologies and new entrants into the 
airspace.
    Congress took important steps in the FAA Reauthorization 
Act of 2024 to support small community air service and the 
modernization of the National Airspace System. The next step is 
to make sure rural airports and the communities they serve are 
not left behind as the system evolves.
    To address these challenges and to protect rural 
connectivity, I would urge Congress to focus on six priorities.
    The first: Fully fund Essential Air Service. EAS remains 
the core Federal program providing access for communities that 
would otherwise lose commercial service.
    Second, strengthen the Small Community Air Service 
Development Program. SCASDP helps communities attract and 
retain service, but demand continues to outpace available 
funding.
    Third, provide stable airport infrastructure funding. 
Congress should protect AIP and extend IIJA-style airport 
investments so smaller airports can address safety, terminal, 
runway, and tower needs without facing a funding cliff after 
fiscal year 2026.
    Fourth, support contract towers. Contract towers improve 
safety and access to smaller airports.
    Fifth, support aviation workforce programs. Continued 
investment in pilots, technicians, and controllers is essential 
to sustaining and growing service.
    Sixth, accelerate modernization of the air traffic control 
system. A safer, more efficient system benefits the entire 
country but is especially important for smaller communities, 
which are often the first to lose service when the system is 
constrained.
    In conclusion, rural aviation is not a local issue alone; 
it is a national connectivity issue. If we want a strong and 
resilient aviation system, we must ensure rural communities 
remain connected to it.
    Thank you for your time and your attention to rural 
aviation issues. I look forward to your questions.
    [Mr. Dobberstein's prepared statement follows:]

                                 
 Prepared Statement of Shawn Dobberstein, A.A.E., Executive Director, 
  Hector International Airport, Fargo, North Dakota, on behalf of the 
               American Association of Airport Executives
    Chairman, Ranking Member, and Members of the Subcommittee: Thank 
you for the opportunity to appear before you today. My name is Shawn 
Dobberstein. I am the Executive Director of Hector International 
Airport located in Fargo, North Dakota. I also serve as vice chair of 
the American Association of Airport Executives' Air Service Committee. 
I am here to represent a vital and often overlooked segment of our 
nation's aviation system: rural air service. America's aviation system 
is the gold standard of the world. However, that standard must apply to 
every American, regardless of their zip code. Connecting rural 
communities to the National Airspace System (NAS) ensures that small-
town America is not left behind in our modern, global economy.
                The Economic Lifeline of Rural Airports
    For rural and isolated communities, commercial air service is not 
merely a convenience. It is an economic driver that creates local jobs, 
attracts businesses, and provides residents with essential access to 
specialized medical care and larger economic hubs. When small community 
airports are linked to the national network, they bridge the economic 
disparity that can exist between urban and rural regions. Without them, 
regional isolation deepens, and local economies inevitably suffer.
                    Challenges Facing Rural Aviation
    Currently, rural air service faces a number of significant 
headwinds. Small community air service recovery from COVID lagged 
compared to larger airports and was further impacted by the acute pilot 
shortage coming out of the pandemic. The aviation industry is still 
navigating localized pilot shortages and shifting carrier economics, 
including the reduction of smaller regional aircraft in favor of larger 
aircraft. This may result in reduced frequencies for some communities. 
Reduced frequency means fewer backup options when flights are delayed 
or canceled. Additionally, limited service can create scheduling 
challenges as poorly scheduled flights can make connections unworkable. 
Finally, the current threat of high jet fuel prices hits small 
communities hardest as airlines reduce flights or end service 
altogether.
    A further challenge for small and rural communities is the pending 
expiration of the Infrastructure Investment and Jobs Act (IIJA) funding 
at the end of fiscal year 2026. Without an extension, $4 billion in 
annual airport funding--half of airport infrastructure funding over the 
last five years--will evaporate. Airports continue to have significant 
infrastructure needs and while we may face some air service headwinds 
today, it takes years to build the infrastructure needed to support 
anticipated growth in demand and operations in the coming decades. 
Without adequate funding--particularly for smaller airports that have 
less access to capital--runways, gates and terminals will not be 
adequate to support future growth, including new entrants. A lack of 
appropriate infrastructure may also further constrain the system.
    We appreciate the work of this committee in the FAA Reauthorization 
Act of 2024 to wisely reauthorize crucial programs that support small 
and rural community air service. Without these programs, many airlines 
would be forced to abandon smaller markets. Furthermore, as the Federal 
Aviation Administration modernizes the NAS--transitioning to new 
technologies that improve safety and efficiency and integrate unmanned 
aircraft--we must ensure rural airports are not left behind in this 
technological leap. Infrastructure modernization funding must reach 
non-hub and general aviation airports so they can safely manage all 
operations, including new entrants in the airspace.
               Protecting and Enhancing Critical Programs
    To maintain this critical connectivity, Congress must prioritize 
six actionable pillars:

    1.  Fully Fund the Essential Air Service (EAS) Program: The EAS 
program is the bedrock of rural air connectivity, ensuring that remote 
communities maintain a baseline of scheduled air service. Proposals to 
drastically cut EAS funding threaten to sever the lifelines of dozens 
of rural communities. While we are open to considering improvements to 
the program, we appreciate the strong support for EAS by this committee 
and the Congress.

    2.  Expand the Small Community Air Service Development Program 
(SCASD): SCASD grants provide small communities with essential support 
to address air service and airfare challenges and to attract new 
carriers. We appreciate the continued support for this program by the 
committee and the Congress as well. Even with that support, demand for 
these grants consistently exceeds available funding. Increasing funding 
for this program would enable rural airports to develop new service 
opportunities and strengthen their long-term sustainability.

    3.  Invest in Rural Aviation Infrastructure: The Airport 
Improvement Program provides critical funding to rural and regional 
airports, and Congress must continue to provide stable funding for this 
program. Thank you again to this committee for increasing the funding 
for AIP to $4 billion annually. Additionally, we also urge Congress to 
extend the IIJA aviation funding programs beyond fiscal year 2026 to 
avoid a $4 billion annual funding cliff and to support critical airport 
infrastructure needs including safety projects, terminal upgrades, and 
air traffic control tower improvements.

    4.  Support the Contract Tower Program: The FAA Contract Tower 
Program provides 266 smaller airports in 46 states with cost-effective 
ATC services that enhance aviation safety and help connect smaller 
airports and rural communities with our national air transportation 
system. Without this program, many small airports would not have tower 
operations that enhance aviation safety. We urge Congress to provide 
funding for this critical program at existing and prospective 
locations.

    5.  Workforce Programs and Controller Staffing: While the pilot and 
technician shortage may not be as acute as it has been in recent years 
and while the administration is focused on increasing controller 
staffing, it is critical that we continue to invest in recruitment, 
education and training of aviation professionals across the workforce. 
Existing programs like Aviation Workforce Development Grants, potential 
changes to student loan programs for pilots and expansion of the 
Enhanced Collegiate Training Initiative (ECTI) will help to ensure we 
have the workforce ready for the future, supporting service to 
communities large and small.

    6.  Modernization of the ATC System: The aviation industry strongly 
supports modernizing the ATC system. Small communities know all too 
well the impact that restrictions on the system can have on operations. 
Chicago, Newark, and San Francisco are all currently experiencing 
constrained operations due to limitations of the ATC system. These 
constraints impact smaller communities as they are likely the first 
markets to be cut when capacity is limited. Ensuring we have a modern, 
safe ATC system will also enable efficiency and future growth, 
improving connectivity into smaller, rural communities.
                               Conclusion
    Our national aviation system is only as strong as its weakest link. 
Connecting rural America to the broader system isn't just a matter of 
equity; it is an investment in the geographic and economic resilience 
of our entire country.
    Thank you for your time, your leadership, and your continued 
commitment to rural aviation and air service. I look forward to your 
questions.

    Mr. Nehls. Thank you.
    Mr. Collins, you are recognized.

       TESTIMONY OF DERRICK COLLINS, DIRECTOR, PHYSICAL 
     INFRASTRUCTURE, U.S. GOVERNMENT ACCOUNTABILITY OFFICE

    Mr. Collins. Chairman Nehls, Ranking Member Carson, and 
members of the subcommittee, thank you for the opportunity to 
discuss GAO's work related to air service to small communities 
in the United States.
    Communities of all sizes seek access to air service as a 
driver for attracting investment, generating employment, and 
providing mobility for citizens. However, the economics of the 
airline industry has traditionally made it difficult to 
establish or sustain viable air service in some smaller 
communities.
    My remarks will highlight recent trends in air service to 
small communities, market factors that have contributed to 
changes in air service to small communities and their effects 
on Federal air service programs, and suggestions from 
stakeholders and recent studies to improve air service to small 
communities.
    In general, small communities continue to face declining 
passenger air service. From 2018 to 2023, on average, small 
communities had fewer total departures annually and fewer daily 
departures per route. Over the same time period, small 
communities' connectivity--a measure of a passenger's degree of 
access to the national aviation system--also decreased.
    These trends are more acute at nonhub airports that do not 
receive Essential Air Service program support. For example, 
from 2018 to 2024, over 70 percent of these airports 
experienced a decline in the average daily departures per 
route.
    Several market factors have affected air service to small 
communities. First, consumers have shown that they are willing 
to drive for cheaper flights or better service.
    In addition, stakeholders reported that increased airline 
operating costs made air service to small communities less 
economically feasible, contributing to reductions in the air 
service. These costs have also affected Federal air service 
programs targeted at small communities.
    From 2018 through 2023, increased airline operating costs 
contributed to a 31-percent increase in total EAS subsidies for 
communities in the lower 48 States. These costs have also 
affected the Small Community Air Service Development Program by 
limiting the impact of the grants that communities use to jump-
start new air service.
    Options that selected stakeholders and recent studies 
identified to improve air service to small communities include 
increasing the aviation workforce supply and supporting other 
transportation modes, such as bus service, or new technologies, 
such as electric aircraft.
    In addition, stakeholders identified a range of options to 
change the Essential Air Service program, such as focusing 
assistance on more remote communities or expanding the program 
to better ensure small airports do not lose air service.
    Stakeholders also identified options to modify the Small 
Community Air Service Development Program, including allocating 
funding to fewer communities per cycle or shifting the focus of 
the program away from revenue guarantees.
    In conclusion, given limited resources, airlines may 
allocate those resources for the highest return. Because of the 
unique circumstances of each small community airport and market 
factors, a combination of creative approaches will be needed to 
ensure connectivity for small communities.
    This concludes my statement. I will be happy to answer any 
questions.
    [Mr. Collins' prepared statement follows:]

                                 
       Prepared Statement of Derrick Collins, Director, Physical 
         Infrastructure, U.S. Government Accountability Office
         Commercial Aviation: Air Service to Small Communities
                      Continues to Face Challenges
                             GAO-26-109182
                             GAO Highlights
What GAO Found
    In general, small communities continue to face declining scheduled 
passenger air service, especially at nonhub airports--airports that 
have more than 10,000 annual commercial passenger boardings but less 
than 0.05 percent of the annual total of U.S. commercial passenger 
boardings. At these airports, the average number of daily departures 
per route in 2024 was 19 percent lower than the 2018 level. Over 70 
percent of nonhub airports that were not receiving federal support from 
the Essential Air Service (EAS) program experienced a decline in 
average daily departures per route from 2018 to 2024.
    According to GAO's prior work, stakeholders have cited pilot and 
maintenance workforce supply challenges, increased airline operating 
costs, and heightened airline expectations for revenue guarantees as 
among the market factors contributing to changes in air service to 
small communities in recent years. Some of these factors also 
contributed to higher EAS subsidy costs, which increased about 31 
percent from 2018 to 2023. Higher airline operating costs also limited 
the effect of Small Community Air Service Development Program (SCASDP) 
grants that communities used to incentivize airlines to initiate air 
service.
    As GAO has previously reported, selected stakeholders and recent 
studies have identified options to improve air service to small 
communities. These include increasing aviation workforce supply and 
supporting other transportation modes, such as bus service, or new 
technologies, such as electric aircraft, that could lower airline 
operating costs. Stakeholders also identified options to change EAS--
such as focusing EAS assistance on more remote communities or expanding 
EAS to better ensure small airports do not lose air service--and to 
modify SCASDP in response to rising airline operating costs.
Why GAO Did This Study
    Communities of all sizes seek access to air transportation 
services. However, the economics of the airline industry have 
traditionally made it difficult to establish or sustain viable air 
service in small communities.
    Small communities are generally served by small airports, which for 
scheduled passenger air service typically include small hub, nonhub, 
and non-primary nonhub airports. The Department of Transportation 
administers federal programs that provide subsidies and grants to help 
eligible small communities retain a link to the national aviation 
system.
    This testimony discusses (1) changes in scheduled passenger air 
service to small communities in recent years; (2) market factors 
affecting air service to small communities and related federal 
programs; and (3) options that aviation stakeholders and recent studies 
identified to improve air service to small communities. It draws from 
GAO's September 2024 report on air service to small communities (GAO-
24-106681), December 2025 report on nonhub airports (GAO-26-107751), 
and April 2026 report on regional airline pilots (GAO-26-107856). 
Details about the scope and methodology for each report are included in 
those reports.
What GAO Recommends
    In April 2026, GAO made two recommendations that could help 
strengthen pilot supply. Specifically, GAO recommended that FAA 
establish and publicly communicate timelines for finalizing two pilot 
training initiatives that were provided for in statute. DOT agreed with 
the recommendations.
                               __________
    Chairman Nehls, Ranking Member Carson, and Members of the 
Subcommittee:
    I appreciate the opportunity to testify before you today on the 
issues affecting air service to small communities in the United States. 
Communities of all sizes seek access to air transportation services as 
a driver for attracting investment, generating employment, and 
providing mobility for citizens. However, the economics of the airline 
industry have traditionally made it difficult to establish or sustain 
viable air service in some smaller communities.
    The Airline Deregulation Act of 1978 phased out the government's 
control over fares and service and allowed market forces to determine 
the price and level of domestic airline service in the United 
States.\1\ Since then, airlines have largely been free to decide where 
in the United States they want to operate, how often they want to fly 
there, the type of aircraft they want to fly to or from a community, 
and how much they want to charge passengers. The act also created the 
Essential Air Service (EAS) program, to help eligible smaller 
communities retain a link to the national aviation system through 
subsidies paid to airlines. In 2000, the Small Community Air Service 
Development Program (SCASDP) was established to help eligible 
communities with insufficient air carrier service or unreasonably high 
airfares improve their air service through discretionary grants. Both 
programs are administered by the U.S. Department of Transportation 
(DOT). Although subsidies and grants from these programs can assist 
eligible smaller communities in retaining a link to the national 
aviation system, the COVID-19 pandemic contributed to a significant 
reduction in passenger traffic and financial losses for a variety of 
aviation businesses and airports, especially in small communities. As 
we reported in December 2025, the smaller airports impacted by declines 
in air service included certain nonhub airports that had not regained 
pre-pandemic service levels by 2024.\2\
---------------------------------------------------------------------------
    \1\ Pub. L. No. 95-504, 92 Stat. 1705.
    \2\ GAO, Commercial Aviation: Certain Nonhub Airports Face 
Significant Challenges in Securing and Maintaining Air Service, GAO-26-
107751 (Washington, D.C.: Dec. 17, 2025). Nonhub airports are defined 
in statute as those that have less than 0.05 percent of annual U.S. 
commercial enplanements (i.e., passenger boardings) but have more than 
10,000 annual enplanements.
---------------------------------------------------------------------------
    This testimony discusses (1) changes in scheduled passenger air 
service to small communities in recent years; (2) market factors 
affecting air service to small communities and related federal 
programs; and (3) options that aviation stakeholders and recent studies 
have identified to improve air service to small communities. This 
statement is drawn from several GAO reports issued since 2024.\3\ The 
reports cited in this statement contain more detailed explanations of 
the methods used to conduct our work. DOT reviewed a draft of this 
statement and provided technical comments, which we incorporated where 
appropriate.
---------------------------------------------------------------------------
    \3\ See GAO, Commercial Aviation: Trends in Air Service to Small 
Communities, GAO-24-106681 (Washington, D.C.: Sept. 25, 2024; 
Commercial Aviation: Certain Nonhub Airports Face Significant 
Challenges in Securing and Maintaining Air Service, GAO-26-107751 
(Washington, D.C.: Dec. 17, 2025); and Aviation Workforce: FAA Could 
Strengthen Regional Pilot Pipeline by Establishing Timelines for 
Training Initiatives, GAO-26-107856 (Washington, D.C.: April 30, 2026).
---------------------------------------------------------------------------
    The work upon which this testimony is based was conducted in 
accordance with generally accepted government auditing standards. Those 
standards require that we plan and perform the audit to obtain 
sufficient, appropriate evidence to provide a reasonable basis for our 
findings and conclusions based on our audit objectives. We believe that 
the evidence obtained provides a reasonable basis for our findings and 
conclusions based on our audit objectives.
                               Background
Air Service to Small Communities
    Although there is no common definition of ``small community'' in 
the context of aviation, we have previously reported that small 
communities are generally served by small airports, which for scheduled 
passenger air service typically include small hub, nonhub, and non-
primary nonhub airports. These airports by definition serve 
comparatively fewer passengers than medium and large hub airports. 
Federal law divides commercial service airports into various categories 
based on the annual number of passenger boardings (i.e., enplanements); 
categories range from large hub airports to non-primary nonhub airports 
(see fig. 1).

Figure 1: Commercial Service Airport Categories for U.S. Airports Based 
               on Calendar Year 2024 Passenger Boardings


  Source: GAO analysis of Federal Aviation Administration enplanement 
                          data. GAO-26-109182

Federal Programs that Support Air Service to Small Communities
    Two federal programs administered by DOT support air service to 
small communities.\4\
---------------------------------------------------------------------------
    \4\ The Federal Aviation Administration's (FAA) Airport Improvement 
Program (AIP) also provides funding to airports, including those 
serving small communities. AIP generally focuses on capital and 
infrastructure projects and does not provide funding directly for air 
service.
---------------------------------------------------------------------------
    Essential Air Service (EAS). EAS was established by the Airline 
Deregulation Act of 1978 and provides federal subsidies to air carriers 
to serve certain eligible communities.\5\ The program is funded through 
a combination of appropriations from the Airport and Airway Trust Fund 
and overflight fees collected by FAA from foreign aircraft traveling 
over U.S. airspace. According to DOT, in November 2025 EAS supported 
air service at 108 airports in eligible communities within the 
contiguous United States. EAS also served 70 communities in Alaska, 
four communities in Hawaii, and one community in Puerto Rico.
---------------------------------------------------------------------------
    \5\ To be eligible for EAS (in communities other than in Hawaii and 
Alaska), a community must require a subsidy per passenger of less than 
$650 during the most recent fiscal year, unless the community is 175 
miles or more from the nearest large or medium hub airport or DOT 
issues a waiver; have had a subsidy per passenger of less than $1,000 
during the most recent fiscal year regardless of the distance from a 
large or medium hub airport (lowered to $850 effective October 2026); 
have had an average of 10 or more enplanements per service day during 
the most recent fiscal year, unless the community is more than 175 
driving miles from the nearest medium or large hub airport or unless 
DOT is satisfied that any decrease below 10 enplanements is due to a 
temporary decline in demand and issues a waiver; and have received 
subsidized EAS, or received a 90-day notice of intent to terminate 
essential air service and the Secretary required the air carrier to 
continue to provide such service to the community, at any time during 
the period between September 30, 2010, and September 30, 2011. 
Beginning in 2022, annual appropriations laws have waived certain EAS 
eligibility criteria, including the enplanements minimum and per-
passenger subsidy cap. Communities in Alaska and Hawaii have different 
eligibility requirements than those in the contiguous U.S.
---------------------------------------------------------------------------
    Small Community Air Service Development Program. SCASDP was 
established in 2000 to, among other things, provide federal 
discretionary grants to fund strategies to improve air service and 
address issues at eligible communities that DOT determines have 
insufficient air carrier service or unreasonably high airfares, among 
other factors. Communities that receive EAS-subsidized service are not 
eligible for SCASDP funds. DOT is authorized to award up to 40 SCASDP 
grants per fiscal year to communities (not more than four per state) 
with underserved airports that seek to obtain airline service or to 
implement other measures to lower the cost and improve availability of 
air service.\6\ Grantees often use the award for marketing or to fund a 
minimum revenue guarantee (revenue guarantee).\7\ SCASDP offers some 
flexibilities that DOT may use to amend grants in response to changing 
industry conditions, which include modifications to limit a grant scope 
to only the grant funded-elements or elements achieved if DOT 
determines that the amendment is reasonably consistent with the 
original purpose of the project or the community's current air service 
needs. According to DOT, this flexibility may increase future project 
eligibility or support grant modification to address new hub 
destination opportunities.\8\ These flexibilities were expanded in the 
FAA Reauthorization Act of 2024. SCASDP grants are time-limited, and 
once a grant has ended, communities must find other means of support 
for air service.\9\
---------------------------------------------------------------------------
    \6\ Pursuant to statute and FAA policy, airports that receive 
federal funding are not able to use airport revenue to provide revenue 
guarantees. See 49 U.S.C. Sec. Sec.  47107(b)(1), 47133; FAA Policy 
Regarding Air Carrier Incentive Program, 88 Fed. Reg. 85,344 (Dec. 7, 
2023) (stating that airport revenues must be used for the capital and 
operating costs of the airport or local airport system, and air carrier 
operations are not a capital or operating cost).
    \7\ Revenue guarantees are designed to limit an airline's risk in 
initiating air service by guaranteeing that the airline will generate a 
specified amount of revenue from the ticket sales associated with new 
service over a specified time frame. When offering a revenue guarantee, 
the community agrees to pay the airline the difference between ticket 
sales and the guaranteed minimum if ticket sales do not meet the 
guaranteed minimum amount.
    \8\ No community may participate in SCASDP in support of the same 
project more than once in a 5-year period, but any community may apply 
to participate in the program in support of a different project at any 
time.
    \9\ For example, SCASDP grants can provide funding for revenue 
guarantees to subsidize service for a period of no more than 3 years.
---------------------------------------------------------------------------
  Small Communities Lost Departing Flights but Gained More Seats per 
                    Departing Flight in Recent Years
    In September 2024 and December 2025, we reported on the following 
changes in air service to small communities in recent years:
    Departures. We found that, on average, small communities had fewer 
total departures annually and fewer daily departures per route from 
2018 to 2023 (see fig. 2).\10\
---------------------------------------------------------------------------
    \10\ GAO-24-106681.
---------------------------------------------------------------------------

  Figure 2: Mean Total Departures from Communities of All Sizes, 2018	
                                  2023
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

   Source: GAO analysis of Department of Transportation data. GAO-26-
                                 109182

   Note: We assigned communities into five size groups (small, medium-
small, medium, medium-large, and large) based on their population, such 
that each size group represents roughly 20 percent of the population of 
                          the contiguous U.S.

    For nonhub airports specifically, the average number of daily 
departures per route in 2024 was 19 percent lower than the 2018 level, 
and over 70 percent (123 of 170) of non-EAS nonhub airports experienced 
a decline in average daily departures per route (see fig. 3).\11\
---------------------------------------------------------------------------
    \11\ GAO-26-107751. Our analysis of nonhub airports excludes non-
primary nonhub airports.
---------------------------------------------------------------------------

    Figure 3: Percentage Change from 2018 to 2024 in Average Daily 
   Departures per Route for Nonhub Airports Not Receiving Subsidized 
                         Essential Air Service
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

  Source: GAO analysis of Department of Transportation data. Base map 
                      from MapInfo. GAO-26-109182

   Note: Our analysis includes average daily departures per route for 
  nonhub primary airports not receiving subsidized service under the 
  Essential Air Service (EAS) program. We conducted our analysis for 
 calendar years 2018-2024. Nonhub primary airports have less than 0.05 
   percent of annual U.S. commercial enplanements but have more than 
  10,000 annual enplanements. We used Federal Aviation Administration 
          enplanement data for 2018 to determine airport size.

    Seats. Flights from small communities generally had more seats, an 
indication that airlines were using larger aircraft (see fig. 4).

 Figure 4: Mean Number of Seats on Departures from Small Communities, 
                               2018	2023
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

   Source: GAO analysis of Department of Transportation data. GAO-26-
                                 109182

   Note: We assigned communities into five size groups (small, medium-
small, medium, medium-large, and large) based on their population, such 
that each size group represents roughly 20 percent of the population of 
                          the contiguous U.S.

    Connectivity. On average, small communities' connectivity, a 
measure of a passenger's degree of access to the national aviation 
system, decreased slightly from 2018 to 2023.\12\
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    \12\ We analyzed the connectivity index introduced by Wittman and 
Swelbar. The connectivity index is a function of the frequency of 
available scheduled flights, the quantity and quality of nonstop 
destinations serviced, and the quantity and quality of connecting 
destinations. Michael Wittman and William Swelbar, ``Modeling Changes 
in Connectivity at U.S. Airports: A Small Community Perspective,'' 
Report No. ICAT-2013-05 (June 2013).
---------------------------------------------------------------------------
    Non-EAS versus EAS. Air service trends varied by airport size and 
by whether the airport received support through EAS. We found that from 
2018 to 2024, non-EAS nonhub airports generally experienced a greater 
decrease in average daily departures per route (falling 21 percent) 
than EAS nonhub airports (falling 5 percent). Similarly, during this 
period, the mean connectivity index score of non-EAS nonhub airports 
declined 8.9 percent, while the mean connectivity index score of EAS 
nonhub airports declined 2.6 percent.
 Market Factors Affected Air Service to Small Communities and Federal 
                          Air Service Programs
    In interviews we conducted for our prior work, aviation 
stakeholders identified a range of market factors that have affected 
air service to small communities in recent years.
Market Factors
    Pilot supply. We have previously reported on aviation industry 
concerns that there is an insufficient supply of qualified pilots to 
support current and future demand from U.S. regional and mainline 
airlines. In our 2024 work, aviation stakeholders identified a shortage 
of pilots as a factor affecting air service to small communities in 
recent years at the time, as larger airlines rebounded from the COVID-
19 pandemic by filling pilot vacancies with pilots hired from regional 
airlines. This hiring exacerbated regional airlines' pre-pandemic pilot 
shortages. However, in April 2026 we reported that pilot supply had 
been rebounding in more recent years, as regional airlines have 
significantly increased pilot pay and pilot certifications have grown.
    Aviation maintenance worker supply. Airlines have also faced 
shortages of aviation maintenance workers, including aircraft mechanics 
and aviation maintenance technicians, according to stakeholders we 
interviewed for our September 2024 report. Representatives from one 
airline told us shortages among these workers have affected the 
airline's ability to operate its fleet of aircraft. FAA administers 
Aviation Workforce Development Grants to projects that aim to generate 
and increase interest in aviation maintenance careers and to prepare 
students for aviation maintenance programs. FAA is accepting 
applications for the current grant cycle through June 22, 2026. We have 
ongoing work examining high school aviation maintenance programs, which 
have the potential to bolster the pipeline of individuals interested in 
aviation maintenance careers.
    Increased airline operating costs and switch to larger planes. 
Rising costs of labor, fuel, and fleet maintenance have increased 
airline operating costs and made air service to small communities less 
economically feasible, contributing to reductions in air service, 
according to stakeholders we have interviewed. Recent increases in jet 
fuel prices have also affected airline operating costs, according to 
the trade association Airlines for America. Our 2025 report on nonhub 
airports noted that airlines have sought to lower costs by replacing 
smaller planes across their fleet with larger planes and reducing 
frequency of flights at smaller airports (i.e., upgauging). Our 
analysis of aircraft seats per departure reflected this shift, as 
flights from small communities generally had more seats in 2023, 
compared to 2018, an indication that airlines were using larger 
aircraft.
    Travelers choosing to drive. Another long-standing challenge for 
small community air service is when residents that live close to a 
smaller airport either drive to their destination instead of flying or 
drive to a larger airport. Residents of small communities are often 
willing to drive or take a bus to a larger airport to take advantage of 
the fares offered by low-cost or ultra-low-cost carriers and for 
nonstop service, according to our 2025 report on nonhub airports.
    Heightened airline expectation for revenue guarantees. As airlines 
seek to increase revenue and reduce costs, many smaller communities not 
receiving service through EAS find themselves in a ``pay-to-play'' 
environment for air service, according to our 2025 report on nonhub 
airports. According to DOT, in 2024 airline expectations for minimum 
revenue guarantees ranged from $1.5 to 2 million for a year of service, 
up from $500,000 to $800,000 before the COVID-19 pandemic. In response, 
communities may have to leverage various sources of funding, including 
state or local funding and SCASDP grants, to secure or maintain air 
service. For example, in 2023, Wenatchee, WA used public funding from 
the local regional port authority and contributions from entities 
including local municipalities and businesses to pay a 1-year, $500,000 
revenue guarantee to Alaska Airlines for a second daily flight to 
Seattle. A second example is Wyoming's capacity purchase agreement with 
SkyWest Airlines to serve some airports in the state, including the 
airport in Rock Springs. Communities that have received funding for a 
revenue guarantee through a SCASDP grant may need to find other means 
to support air service once the grant has ended. Dubuque, IA lost 
commercial air service entirely in early 2026 when the community's 
revenue guarantee--that had been partially funded with a SCASDP grant--
was expended.
Effects on Federal Air Service Programs
    In turn, some of these market factors affected federal air service 
programs.
    EAS. From 2018 through 2023, increased airline operating costs 
contributed to a 31 percent increase in total EAS subsidies for 
communities in the lower 48 states in real 2023 dollars. As we 
previously reported, according to DOT, factors contributing to the 
increase in EAS subsidies included higher aviation labor and fuel 
costs, inflation, and an increase in the use of regional jets, which 
consume more fuel than smaller turboprop aircraft, to serve 
communities.\13\ We have ongoing work examining EAS costs in response 
to a provision in the FAA Reauthorization Act of 2024.\14\
---------------------------------------------------------------------------
    \13\ GAO-24-106681.
    \14\ See FAA Reauthorization Act of 2024, Pub. L. No. 118-63, Sec.  
567, 138 Stat. 1025, 1219.
---------------------------------------------------------------------------
    The way airlines serve EAS communities has also changed in recent 
years. For example, the number of EAS communities served by a Part 135 
public charter operator more than doubled (8 to 20) from 2018 to 2023. 
In our 2024 work, representatives from Contour Airlines, the public 
charter operator serving those 20 communities, told us operating under 
Part 135 enables them to hire from a larger pool of pilots than under 
Part 121.\15\
---------------------------------------------------------------------------
    \15\ Under Part 121, captains and first officers must hold an 
airline transport pilot (ATP) certificate, which requires a minimum of 
1,500 hours of flight time. In contrast, under Part 135, captains must 
hold an ATP certificate, but first officers do not have to meet the 
1,500-hour requirement.
---------------------------------------------------------------------------
    Additionally, over this time period, more EAS communities 
participated in the Alternate EAS program (which allows them to forego 
subsidized air service for a period of time in exchange for a grant) 
and all of them used the grant to receive public charter service.\16\ 
DOT told us that participation in Alternate EAS has grown as 
communities have been dissatisfied with airline proposals under 
traditional EAS, as well as communities' desire for air service from 
regional jets versus smaller turboprop aircraft.\17\
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    \16\ As of October 2025, 12 communities were participating in the 
Alternate EAS program. Alternate EAS allows communities to forego their 
EAS in exchange for receiving a grant to spend in a variety of ways 
that might better suit their individual needs. These options are 
spelled out in statute and include more frequent service with smaller 
aircraft, on-demand air taxi service, scheduled or on-demand surface 
transportation, or regionalized air service. 49 U.S.C. Sec.  41745.
    \17\ The FAA Reauthorization Act of 2024 includes a provision for 
GAO to conduct a study on effectiveness of the Alternate EAS program. 
Pub. L. No. 118-63, Sec.  563.
---------------------------------------------------------------------------
    SCASDP. Higher airline operating costs have also affected SCASDP by 
limiting the effect of the grants that communities use for revenue 
guarantees, according to airport and airline representatives we 
interviewed in our September 2024 report. Representatives from airlines 
told us that SCASDP grants intended to fund revenue guarantees cover 
less of the cost of serving small communities than in the past. 
Additionally, our recent work on nonhub airports found that 
applications for grant assistance continue to exceed the support SCASDP 
offers. For the most recent grant opportunity, for example, 40 
communities applied for more than $30 million to support air service at 
their local airports for fiscal year 2023, and DOT awarded SCASDP 
grants totaling nearly $12 million to 14 communities (see table 1).\18\ 
DOT has announced that it awarded up to $12 million in grants for 
fiscal year 2024.\19\
---------------------------------------------------------------------------
    \18\ In fiscal year 2023, DOT received $10 million in 
appropriations for the program and awarded nearly $12 million in 
grants. According to DOT officials, the amount of funds available in a 
given fiscal year has at times exceeded the appropriated amount for 
that year. For example, in certain years, funds recovered from prior 
grant awards became available and supplemented the appropriated 
funding.
    \19\ In March 2026, DOT issued an order soliciting applications 
from communities or consortia of communities for fiscal year 2024 
SCASDP grants (utilizing FY 2024 and a portion of FY 2025 funding); 
applications were to be submitted by May 4, 2026.

  Table 1: Small Community Air Service Development Program (SCASDP) Grant Applications and Awards, Fiscal Years
                                                    2018-2023
----------------------------------------------------------------------------------------------------------------
                                                 Number of
                                                 eligible
          Award cycle (fiscal year)             communities     Total amount     Number of awards   Total amount
                                                 (of total     requested \a\                           granted
                                               applications)
----------------------------------------------------------------------------------------------------------------
2018........................................      54 (of 57)    > $37 million                   18   $12,242,000
2019........................................      71 (of 78)    > $58 million                   22   $17,972,111
2020........................................                                     No grants awarded
                                                                                               \b\
2021........................................      45 (of 48)    > $33 million                   25   $16,931,000
2022........................................      45 (of 48)    > $34 million                   20   $14,815,000
2023........................................      40 (of 46)    > $31 million                   14   $11,955,000
                                                                          \c\
----------------------------------------------------------------------------------------------------------------
Source: GAO analysis of Department of Transportation data. GAO-26-109182
 
\a\ In its SCASDP award announcements, Department of Transportation (DOT) provides the minimum amount requested.
\b\ DOT did not award SCASDP grants for fiscal year 2020. According to agency officials, DOT instead combined no-
  year funds provided by Congress in fiscal year 2020 for grant awards in fiscal year 2021.
\c\ Fiscal year 2023 total amount requested is based on eligible communities; requests for other years are based
  on applicant communities.

Selected Stakeholders and Recent Studies Identified Various Options to 
                Improve Air Service to Small Communities
    Aviation stakeholders we interviewed and recent studies we reviewed 
in our prior work identified a number of options to improve air service 
to small communities.\20\
---------------------------------------------------------------------------
    \20\ For a detailed discussion of the various stakeholder views on 
each of these options, see GAO-24-106681 and GAO-26-107751.
---------------------------------------------------------------------------
    Modifying EAS. Aviation stakeholders we interviewed for our 
September 2024 report identified options for modifying the EAS program. 
These options were identified before the FAA Reauthorization Act of 
2024 was enacted, and, for the most part, were not included in the FAA 
Reauthorization Act of 2024. For many of these options, statutory 
amendments would be required, should Congress choose to adopt them. To 
focus assistance on more remote communities, stakeholders suggested 1) 
eliminating the waivers DOT may allow for communities that do not 
maintain certain eligibility requirements; 2) requiring communities to 
provide a local match to the EAS subsidy; or 3) providing funding to 
the states for distribution, rather than direct subsidies to the 
airlines.\21\ Stakeholders also suggested that DOT be required to 
consider the cost of the subsidy when awarding airline contracts--a 
requirement that was included in the FAA Reauthorization Act of 
2024.\22\ Stakeholders noted that Congress could also expand EAS by 
loosening requirements, such as by raising the per-passenger subsidy 
caps, or allowing previously eligible communities to regain 
eligibility.\23\
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    \21\ The FAA Reauthorization Act of 2024 limited the circumstances 
under which DOT may waive certain EAS eligibility requirements. 
Beginning in fiscal year 2027, DOT may not provide a waiver of the 
minimum enplanements or certain per passenger subsidy cap requirements 
to any location in more than two consecutive fiscal years or in more 
than five fiscal years within 25 consecutive years. However, beginning 
in 2022, annual appropriations laws have waived certain EAS eligibility 
criteria, including the enplanements minimum and per-passenger subsidy 
caps. For suggestions (2) and (3), the FAA Reauthorization Act of 2024 
did not include a cost-sharing requirement for EAS communities or 
provide EAS funding to the states.
    \22\ According to information provided by DOT, although DOT was not 
previously required to consider cost, DOT has considered the relative 
subsidy requirements of the various options when selecting an EAS 
carrier since the inception of the program. Furthermore, prior to the 
FAA Reauthorization Act of 2024, DOT was authorized by Congress to 
consider the relative subsidy requirements of applicant air carriers.
    \23\ Prior to the FAA Reauthorization Act of 2024, the per-
passenger subsidy cap was $200, unless the community was more than 210 
miles from the nearest large or medium hub airport or unless DOT issued 
a waiver. The FAA Reauthorization Act of 2024 raised the per-passenger 
subsidy cap to $650 for locations that are less than 175 miles from the 
nearest large or medium hub airport, unless DOT waives the requirement 
based on a temporary decline in demand. The FAA Reauthorization Act of 
2024 did not modify the program to allow ineligible communities not in 
Alaska to re-enter.
---------------------------------------------------------------------------
    Modifying SCASDP. We and others have found that SCASDP grants have 
a mixed record of success in attracting air service.\24\ In interviews 
for our 2024 report, aviation stakeholders identified a range of 
options for modifying SCASDP in response to rising airline operating 
costs. These options were identified before the FAA Reauthorization Act 
of 2024 was enacted. Some of these options Congress might consider 
would require statutory amendments, such as increasing total funding 
for the program or allowing more flexibility in how grants may be used 
when a community's circumstances change.\25\ Stakeholders also 
suggested allocating funding to fewer communities per cycle or shifting 
the focus of the program away from revenue guarantees.
---------------------------------------------------------------------------
    \24\ In 2019, we reported that half of the 66 grantees that 
received awards for fiscal years 2010 through 2014 were successful in 
achieving their goals during the award period, and that just over a 
third sustained their results for at least 24 months after the award 
period had ended. Additionally, a 2014 article calculated that of the 
115 grantees from 2006 through 2011 that requested funds to attract new 
service or achieve other outcomes, fewer than half were ultimately 
successful in meeting the goals of their proposal within 28 months of 
accepting the grant. See GAO, Small Community Air Service Development: 
Process for Awarding Grants Could Be Improved, GAO-19-172 (Washington, 
D.C.: Mar. 26, 2019) and Michael D. Wittman, ``Public Funding of 
Airport Incentives in the United States: The Efficacy of the Small 
Community Air Service Development Grant Program,'' Transport Policy, 
vol. 35 (September 2014).
    \25\ The FAA Reauthorization Act of 2024 increased the 
authorization of funding for SCASDP to $15 million annually. The FAA 
Reauthorization Act of 2024 gave DOT the authority to amend the scope 
of a grant agreement at the request of the community or consortium and 
any participating air carrier, and limit the scope of a grant agreement 
to only the elements using grant assistance or to only the elements 
achieved, if the Secretary determines that the amendment is reasonably 
consistent with the community's current air service needs.
---------------------------------------------------------------------------
    Increasing pilot supply. Aviation stakeholders we interviewed for 
our September 2024 report identified a number of options that Congress 
could consider to increase pilot supply. These include, for Part 121 
pilots, 1) revising the statutory requirement that captains and first 
officers have 1,500 hours of flight time to hold an Airline Transport 
Pilot certificate; and 2) raising the statutory mandatory retirement 
age from 65 to 67.\26\ To help strengthen the pilot pipeline, the FAA 
Reauthorization Act of 2024 required FAA to take action on two pilot 
training initiatives by November 2024.
---------------------------------------------------------------------------
    \26\ The FAA Reauthorization Act of 2024 did not amend the 1,500 
flight-hour training requirement for Part 121 pilots or raise the 
retirement age for Part 121 U.S. airline pilots.
---------------------------------------------------------------------------
      Enhanced Qualification Program. Requires FAA to establish 
requirements so that qualified air carriers, among others, may provide 
enhanced training to eligible pilots seeking a restricted-privileges 
airline transport pilot certificate.\27\ This enhanced training 
includes instruction on fundamental aviation subjects as well as 
airline operations and procedures.
---------------------------------------------------------------------------
    \27\ FAA allows pilots with fewer than 1,500 hours of total time as 
a pilot to obtain a restricted-privileges airline transport pilot (R-
ATP) certificate when they meet certain requirements. The R-ATP 
certificate allows pilots to serve as first officers in certain 
operations until they obtain the necessary 1,500 hours of total time as 
a pilot needed for an ATP certificate.
---------------------------------------------------------------------------
      Nationwide office for Designated Pilot Examiners. 
Requires FAA to establish a nationwide office for oversight of 
Designated Pilot Examiners--experienced pilots designated by the FAA to 
conduct tests with student pilots. The act also requires FAA to submit 
reports to congressional committees evaluating the use of Designated 
Pilot Examiners.

    In April 2026, we recommended that FAA establish and publicly 
communicate timelines for issuing 1) the Enhanced Qualification Program 
requirements and 2) the first required report to Congress on the 
Designated Pilot Examiner's national office. DOT concurred with the 
recommendations. We are continuing to monitor FAA's efforts to address 
the recommendations.
    Using alternative transportation modes or technologies. Aviation 
stakeholders we interviewed and recent studies we reviewed in our prior 
work also identified options to address higher airline operating 
costs--namely, the use of bus service and electric aircraft. We have 
previously reported that a multimodal approach, including bus service 
to larger airports, is an alternative to providing scheduled passenger 
service to small communities. For example, the Landline Company 
currently provides short-haul bus service from certain smaller airports 
to large hub airports in a manner that substitutes for a connecting 
flight offered by a regional airline. Stakeholders we previously 
interviewed have had mixed views on bus service as a feasible 
alternative. While some were supportive, others cited obstacles like 
the length of time of bus trips and airport resistance because bus 
passengers do not count toward the minimum 10,000 annual passenger 
enplanements that airports must maintain to qualify for Airport 
Improvement Program funding.
    Additionally, aircraft with electric propulsion technologies may 
have the potential to lower operating costs for airlines, according to 
publications we reviewed for our September 2024 report. We previously 
reported that regional air mobility--an application of advanced air 
mobility--could use electric or hybrid-electric aircraft to carry 
passengers to adjoining regions and cities, and could open up new 
regional corridors.\28\ In interviews for our December 2025 report on 
nonhub airports, stakeholders also told us that electric or hybrid-
electric aircraft--which include short-range aircraft in development 
that would accommodate nine, 30, or 100 passengers--may be more 
suitable for some smaller communities than the larger jets that 
airlines currently use. However, some aviation stakeholders we 
interviewed were skeptical of electric aircraft as a viable near-term 
option for air service to small communities due to the cost and 
feasibility of installing charging infrastructure and the need for FAA 
regulatory approval of such aircraft, among other things.
---------------------------------------------------------------------------
    \28\ The FAA Reauthorization Act of 2024 defines advanced air 
mobility as a transportation system that comprises urban air mobility 
and regional mobility. Both of these mobilities involve the use of 
advanced technologies such as fully electric and hybrid-electric 
aircraft for passenger transport, cargo transport, and emergency 
services, inside and outside of cities. According to DOT officials, 
fully electric aircraft have utility over shorter distances, such as 
trips up to 40 miles, and hybrid-electric aircraft can fly up to 300 
miles before charging. For more information, see GAO-24-106681.
---------------------------------------------------------------------------
    Planning at the state level. Based on interviews with officials 
from certain state DOTs for our December 2025 report, we identified 
examples of state-level air service development and planning. For 
example, two of the selected nonhub airports we reviewed--in Rock 
Springs, Wyoming and Traverse City, Michigan--are located in states 
that provided funding for air service through their state aviation 
programs. In addition, while not directly funding air service 
development, Washington State DOT was part of a regional effort funded 
through SCASDP to assist smaller airports--like the one in Wenatchee--
with local air service issues in Oregon and Washington. In interviews 
for our December 2025 report, officials from the state DOTs in 
Michigan, Washington, and Wyoming told us that state or regional 
support for air service development can be limited by funding and other 
constraints. Our prior analysis of SCASDP grants found several other 
examples of SCASDP funding being used to support state or regional 
planning efforts, although such uses were infrequent. While the statute 
enables--and according to agency officials, DOT encourages--
applications by groups of communities, DOT most frequently receives 
individual applications for SCASDP funding, rather than applications 
that are part of a more holistic assessment of state or regional needs.
    Chairman Nehls, Ranking Member Carson, and Members of the 
Subcommittee, this completes my prepared statement. I would be pleased 
to respond to any questions that you may have at this time.

    Mr. Nehls. Thank you, sir.
    I now recognize Mr. Pecoraro for 5 minutes.

 TESTIMONY OF GREGORY PECORARO, PRESIDENT AND CHIEF EXECUTIVE 
   OFFICER, NATIONAL ASSOCIATION OF STATE AVIATION OFFICIALS

    Mr. Pecoraro. Thank you, Chairman Nehls, Ranking Member 
Carson, and Ranking Member Larsen, members of the subcommittee. 
Thank you for the opportunity to appear before you on behalf of 
the National Association of State Aviation Officials. I 
appreciate your continued commitment to small community air 
service, and from your opening statements, it is clear that 
this committee gets it.
    State agencies directly support small and rural air service 
in many ways, including financially. Several States provide 
incentive programs to help communities attract and retain 
scheduled passenger service. These efforts complement Federal 
programs, providing locally responsive support shaped by each 
community's needs.
    The challenges facing small community air service are 
bigger than any one Federal program. The Nation needs a 
coordinated strategy. Small and rural communities face 
longstanding pressures: aging infrastructure, airline 
economics, security requirements, limited workforce, and the 
shrinking availability of appropriately sized aircraft. Unless 
these are addressed together, communities will continue to lose 
service.
    We need Congress to direct the U.S. DOT and the FAA, in 
coordination with other agencies and State and local 
governments, to develop and implement a national strategy for 
small community air service. That effort should review existing 
Federal programs, identify actionable recommendations, and 
define clear responsibilities across Government.
    Continued Federal support is indispensable. The EAS program 
is an important lifeline for many communities, but it has not 
kept pace with changes in the airline industry and the broader 
economy.
    Communities that successfully exited EAS before the 
pandemic are now unable to sustain service under current 
conditions, yet existing law makes it extremely difficult for 
them to reenter.
    Congress should preserve full funding for both EAS and the 
Small Community Air Service Development Program and update 
eligibility rules so communities who have lost service have a 
realistic path back.
    Infrastructure needs are equally pressing. Many small 
community terminals are aging, undersized, and unable to meet 
current needs. General aviation airports face similar funding 
challenges even though they may provide some of the most 
practical near-term platforms for emerging aviation 
technologies and future service opportunities.
    Congress should continue robust Airport Improvement Program 
funding at the full authorized level and examine long-term 
changes to better support nonprimary entitlements and general 
aviation infrastructure.
    The regional aircraft fleet, vital to many small 
communities, is in decline. Airlines are moving to fewer, 
larger aircraft with more favorable economics, while many 50-
seat regional jets are reaching the end of their useful lives.
    When right-sized aircraft disappear, access disappears with 
them. It becomes harder for smaller markets to maintain 
frequency, affordability, and reliable connectivity to the 
national system. We must identify and repair and fix the 
barriers preventing new regional aircraft from entering the 
market.
    Finally, workforce shortages continue to affect the entire 
aviation ecosystem, especially pilot recruitment and retention. 
NASAO encourages Congress to continue to support pathways that 
improve the pilot pipeline.
    In closing, the challenges facing small community air 
service are structural, compounding, and urgent--but not beyond 
solving. With a strategic national approach, continued Federal 
assistance, sustained infrastructure investment, support for 
right-sized aircraft manufacturing, and expanded workforce 
development, Congress could help ensure that small communities 
remain connected to the national aviation system.
    NASAO and the States stand ready to work with you to ensure 
that small and rural communities have access to the NAS.
    Thank you again for your leadership and your continued 
attention to this important issue. I would be pleased to answer 
any questions you may have.
    [Mr. Pecoraro's prepared statement follows:]

                                 
 Prepared Statement of Gregory Pecoraro, President and Chief Executive 
       Officer, National Association of State Aviation Officials
    Chairman Nehls, Ranking Member Carson, and Members of the 
Subcommittee on Aviation, thank you for the opportunity to appear 
before you today. On behalf of the National Association of State 
Aviation Officials (NASAO), we greatly appreciate your continued 
commitment to small community air service and the strong legislative 
framework established by the FAA Reauthorization Act of 2024 (P.L. 118-
63), which guides today's conversation.
    NASAO represents state government aviation agencies in all 50 
states, Guam, and Puerto Rico. These agencies oversee aviation systems 
at the state level, including planning, development, safety, and 
regulation of airports and aviation activities. In communities large 
and small, NASAO's members provide financial and technical support to 
airports, conduct safety inspections, and advocate for the needs of 
airports that are essential to local mobility, economic opportunity, 
and public service. Together, state government aviation agencies help 
oversee and support thousands of public-use airports that are the 
nation's small community air service network.
    State government aviation agencies play a direct, though varying, 
role in supporting air service in small and rural communities, shaped 
by each state's statutory authority, resources, and priorities. They 
provide financial support and technical expertise to small and general 
aviation airports that often lack the staffing and expertise available 
to large airports. In addition, eight states have initiated targeted 
incentive programs to help airports attract and retain scheduled 
passenger air service. These efforts complement federal programs by 
offering flexible, locally responsive support tailored to the needs of 
individual communities.
    State government aviation agencies are on the front lines of the 
infrastructure and service challenges facing small community airports, 
and NASAO's perspective reflects the direct experience of those 
agencies working every day to support aviation access in communities 
across the country.
 Continued Support Needed for Federal Programs for Small Community Air 
                                Service
    Small community air service is under growing strain, and continued 
federal support is critical. The Essential Air Service (EAS) program 
remains an important resource for many communities, but it has not 
evolved in step with changes in the economy and airline industry. 
Aircraft economics, airport connectivity, airline cost structures, and 
infrastructure realities have changed substantially since the program 
was designed. As a result, some communities that once successfully 
exited EAS prior to the COVID-19 pandemic and its disruption of air 
travel, now find themselves unable to maintain commercial air service 
under current market conditions yet they face major barriers to 
reentering the program.
    The FAA Modernization and Reform Act of 2012 (P.L. 112-95) locked 
many of these communities out of EAS, leaving them with no path back 
when air service is reduced, suspended, or lost. In effect, communities 
that did the right thing and grew beyond the need for EAS can now be 
penalized for that success when market conditions shift against them.
    When EAS works as intended, the results are significant. Jackson 
Regional Airport in Tennessee is a clear example. Prior to EAS-
supported service, the airport struggled with unreliable service that 
pushed business travelers, healthcare professionals, and residents to 
drive to larger airports rather than depend on local flights. Through 
EAS, dependable air service has since allowed local businesses to 
expand into new markets, improved physician recruitment for the 
regional healthcare system, and given residents reliable access to the 
national air transportation network. In its first full year of service, 
the airport recorded over 10,000 enplanements, a 224 percent increase 
over the prior year, and is on pace to reach nearly 16,000 in 2026. The 
airport is now looking at terminal and infrastructure expansions to 
meet continued growth.
    At the same time, the Small Community Air Service Development 
(SCASD) program remains a valuable complement to EAS because many 
communities do not have the local resources needed to proactively 
attract or retain service on their own. Elko, Nevada, demonstrates 
precisely why the SCASD program is essential for communities that fall 
outside the EAS program's eligibility criteria but still need federal 
support to sustain meaningful air service. SCASD enabled the Elko 
Regional Airport to restore its midday flight, which had been 
eliminated during the COVID-19 pandemic due to reduced demand and the 
broader disruptions that reshaped air service across small markets. 
Without SCASD, Elko would not be able to sustain its current twice-
daily schedule. The SCASD program continues to provide grants to help 
communities address air service and airfare challenges. However, the 
U.S. Government Accountability Office recently found that small 
communities generally experienced fewer departing flights between 2018 
and 2023 even as average seats per departure increased, underscoring 
the pressure these markets continue to face.\1\
---------------------------------------------------------------------------
    \1\ U.S. Government Accountability Office, Commercial Aviation: 
Certain Nonhub Airports Face Significant Challenges in Securing and 
Maintaining Air Service, GAO-26-107751, December 2025
---------------------------------------------------------------------------
    For these reasons, Congress should continue funding both EAS and 
SCASD at no less than their full authorized levels in the FAA 
Reauthorization Act of 2024 (P.L. 118-63). Congress should also amend 
the EAS eligibility provisions in the FAA Modernization and Reform Act 
of 2012 (P. L. 112-95) so that communities that exited the program, but 
later lost service have a reasonable path to reenter. Any reentry 
framework should reflect today's airline industry and market 
environment rather than assumptions that existed when a community first 
left the program.
 Continued Support for Federal Airports to Address Infrastructure Gaps
    Infrastructure is another major obstacle. At many small community 
airports, commercial terminals are aging, undersized, and increasingly 
unable to accommodate larger aircraft or meet current Transportation 
Security Administration (TSA) security requirements. Modernization 
costs are substantial, and unlike at large commercial airports, 
airlines serving small regional airports rarely share significantly in 
those capital costs. Meanwhile, airlines have increasingly moved toward 
larger aircraft and less frequent service.
    That trend creates real challenges for passengers and communities. 
Replacing smaller, more frequent flights with larger, less frequent 
flights can make service less useful for business travelers, reduce 
schedule flexibility, and leave passengers with fewer options when 
delays or cancellations occur. Small communities are often stuck in a 
chicken-and-egg dilemma: growth in passenger demand is needed to 
justify larger aircraft, but the infrastructure needed to support those 
aircraft must already be in place before that growth can happen. At the 
same time, the aging regional jet fleet is becoming less reliable, 
making it harder to sustain consistent service and eroding confidence 
in smaller markets.
    General aviation airports face parallel infrastructure challenges. 
These airports are among the most underutilized and underfunded assets 
in the national aviation system, yet they may be the most practical 
near-term platforms for early advanced air mobility (AAM) deployment, 
which, when integrated into the broader transportation system, could 
expand access for people in communities that have long been 
underserved. Realizing that potential, however, will require 
investment.
    State government aviation agencies collectively invest in planning, 
operations, infrastructure development, maintenance, and navigational 
aids at approximately 5,000 airports across the country, illustrating 
the scale of the system that depends on sustained support. The 
Nonprimary Entitlement (NPE) program currently provides eligible 
general aviation, reliever, and nonprimary commercial service airports 
up to $150,000 annually to airports in the National Plan of Integrated 
Airport Systems (NPIAS). In practice, that amount falls far short of 
the cost of most pavement, safety, and utility projects, which can 
easily begin at $1 million or more. As a result, many airports must 
carry over multiple years of funds just to address a single need, 
delaying safety improvements and limiting their ability to plan for 
future technologies.
    Preparing these airports for electric and hybrid-electric aircraft 
will require even more investment. Electrical capacity upgrades, new 
communications systems, and updated navigational aids will all be 
necessary. Current funding levels are insufficient to meet today's 
needs, let alone future demands.
    For these reasons, NASAO urges Congress to continue supporting 
robust Airport Improvement Program funding at the full $4 billion 
authorized level under the FAA Reauthorization Act of 2024 (P.L. 118-
63). This funding is essential, but long-term sustainability will also 
require updates to the NPE program. NASAO encourages Congress to raise 
the maximum annual NPE apportionment above the current $150,000 cap. At 
the same time, we must not rely solely on annual appropriations to 
address these infrastructure challenges. It will be critical for 
Congress, the Administration, and state, tribal, local, and territorial 
governments to work together to create a sustainable, long-term funding 
model for general aviation airport infrastructure.
    Integrating Advanced Air Mobility as Part of the Broader Rural 
                        Transportation Solution
    Advanced Air Mobility (AAM) presents a significant long-term 
opportunity for small and rural communities to connect to the broader 
transportation network. AAM should be viewed as a mobility tool that 
can be combined with both traditional aviation and surface 
transportation systems. Electric battery, hydrogen-fueled, and hybrid 
aircraft may eventually provide a replacement for aging 50-to-70-seat 
regional aircraft and reshape air service options for smaller markets, 
but realizing the potential will require coordinated planning across 
agencies and modes.
    Small airports are not currently positioned to support AAM 
operations. Charging and fueling infrastructure, upgraded power 
systems, and new navigational aids will all be required before these 
aircraft can operate at scale. These investments present an opportunity 
to align Federal Aviation Administration (FAA) and Federal Transit 
Administration (FTA) programs, and other U.S. Department of 
Transportation programs to support more integrated cost-effective rural 
mobility solutions.
    While AAM is not a near-term solution to current small community 
air service challenges, the planning and infrastructure decisions made 
today will determine whether small and rural communities can benefit 
from it when the technology matures. Communities that do not begin 
preparing now risk being left behind as deployment concentrates in 
better-funded and better-prepared areas.
    That is why Congress should ensure full and timely implementation 
of AAM-related provisions in the FAA Reauthorization Act of 2024 (P.L. 
118-63), including support for electric, hydrogen, and hybrid aircraft 
infrastructure. Congress should also fully fund the AAM Infrastructure 
Pilot Program (Sec. 101 of division Q of P.L. 117-328), which provides 
planning support for state, tribal, and local governments preparing for 
AAM infrastructure needs. Early planning is critical to ensure these 
communities are positioned to fully leverage emerging AAM technologies. 
The House Appropriations Committee included funding for this program in 
the FY 2027 Transportation, Housing and Urban Development, and Related 
Agencies appropriations bill, and NASAO urges Congress to support that 
funding in a final spending bill.
  Rebuilding the Regional Aircraft Pipeline for Long-Term Connectivity
    Another structural challenge that deserves much greater attention 
is the decline of the regional aircraft fleet that underpins service to 
many small communities. Without a viable next-generation aircraft in 
the 19-to-76-seat range, long-term connectivity for many communities is 
at serious risk, regardless of how well federal programs are funded. 
Larger aircraft generally offer lower seat-mile costs, making them more 
attractive to airlines. At the same time, the 50-seat regional jet 
fleet is aging toward the end of its useful life, and there is no true 
replacement currently in production ready to fill that gap. Meanwhile, 
labor and gate constraints at hub airports are reinforcing this trend, 
further encouraging airlines to operate fewer, larger aircraft instead 
of maintaining more frequent, small-aircraft service. Together, these 
issues are systematically narrowing the pathway for small and rural 
communities to maintain reliable air service. If left unaddressed, this 
shift will accelerate the loss of connectivity in rural and smaller 
regions.
    Congress and the Administration should engage aerospace 
manufacturers to identify the specific barriers preventing new regional 
aircraft from entering the market. While some next-generation concepts 
are under development, including aircraft that incorporate some aspects 
of AAM technologies, progress has been slow and uncertain. A targeted 
federal effort is needed to assess certification hurdles, production 
challenges, and market disincentives.
    That assessment should lead to a focused review of regulatory and 
policy options that could reduce barriers to entry or provide 
meaningful incentives for manufacturers, including certification 
support, regulatory reform, and other targeted actions. A coordinated 
effort across the U.S. Department of Transportation, the FAA, and 
industry stakeholders is necessary if we are serious about preserving 
connectivity for small communities over the long term.
                     Addressing the Pilot Shortage
    Recruitment of commercial pilots has remained a challenge across 
the industry. Regional airlines had already been facing a pilot 
shortage for several years before the COVID-19 pandemic, but the 
pandemic fueled a wave of pilot retirements that caused the shortage to 
become an acute problem.
    As air travel demand rebounded, major airlines began hiring pilots 
quickly, many of whom came from regional airlines. This acute pilot 
shortage severely limited regional airlines' ability to serve small 
communities, leading to small markets losing a portion or all their 
service.
    NASAO urges Congress to continue its oversight of the FAA 
Reauthorization of 2024 (P.L. 118-63) to ensure the timely 
implementation of key provisions, including Section 372, which requires 
the FAA to establish requirements for the Enhanced Qualification 
Program (EQP) under which air carriers are certified to provide 
enhanced training for pilots seeking to obtain restricted airline 
transport certificates. NASAO also urges Congress to support increased 
opportunities for pilot training, including making pilot training 
eligible for federal loan programs.
    A National Strategy is Needed to Fully Address These Challenges
    At the same time, these individual issues point to a broader truth: 
the nation needs a coordinated strategy for small community air 
service. Many of the challenges facing small and rural communities have 
persisted for years because they are structural. Manufacturing 
limitations, infrastructure shortfalls, funding constraints, security 
requirements, and workforce shortages all interact with one another. No 
single program can solve them in isolation. Addressing these challenges 
requires a whole-of-government approach that aligns policy and funding 
across agencies. State government aviation agencies must have a 
meaningful seat at the table because they are essential implementation 
partners.
    Congress should direct the U.S. Department of Transportation and 
the FAA, working with TSA and other relevant agencies, to develop and 
implement a coordinated national strategy for small community air 
service. This effort should include a review of existing federal 
programs, identify actionable recommendations, and define clear roles 
for each federal entity. It should also be informed by input from state 
and local governments and private-sector stakeholders who understand 
these operational realities firsthand. This is a process that worked 
well leading up to the U.S. Department of Transportation's recent 
promulgation of the AAM National Strategy. A similar level of focus and 
cross-agency coordination is now urgently needed to ensure that small 
and rural communities are not left behind in the nation's aviation 
system.
    In closing, the challenges facing small community air service are 
structural, compounding, and urgent, but they are not beyond solving. 
With the right mix of near-term investment, policy reform, and long-
term strategy, Congress can help ensure that smaller communities remain 
connected to the national aviation system. NASAO is committed to 
working with Congress and the FAA to advance these priorities on behalf 
of state government aviation agencies and the communities they serve.
    Thank you again for your leadership and your continued focus on the 
needs of small communities in our national aviation system. I would be 
happy to answer any questions and discuss further any of the issues 
raised in this testimony.

    Mr. Nehls. Thank you, sir.
    Thank you all for your testimony.
    We will now turn to questions from the panel. I will 
recognize myself.
    I think, just for awareness--I think, Ms. Black, you 
brought it up--but the FAA Administrator, Bryan Bedford, 
testified last week at the Senate Commerce hearing that any new 
integrated system--ACAS X or ADS-B In--is 10 years away. Ten 
years.
    The electronic flight bag option that you mentioned, Faye, 
can be deployed--it can be done immediately.
    So I just wanted to bring that point up.
    Ms. Black, too, in addition to guaranteeing a safely 
operated national airspace, we have a responsibility to ensure 
that rural Americans have an accessible national airspace. The 
necessity of access for regional aircraft is indisputable.
    Can you describe any obstacles on the horizon for your 
carriers? And how can Congress hurt--we can hurt--or help?
    Ms. Malarkey Black. Thank you for the question.
    I think that the obstacles on the horizon are related to 
workforce--certainly we need to have pilots to operate the 
flights--and aircraft-related. We need to have the aircraft to 
operate the flights as well.
    The risks to each: Workforce, obviously, is that we don't 
have enough. We see that pipeline is thinning. There are things 
that we can do to fix it, including right-sizing student loans 
so more people from working-class backgrounds can get into this 
career.
    And with respect to the fleet, it is important that, as we 
advance safety, that we bring it to communities of every size, 
but we do it in a way that works with the fleet and not against 
the fleet or in a way that could ground the fleet.
    So, to your point of the electronic flight bag, that is a 
way for us, right now, to create that level of safety while we 
pursue integrated systems that the supply chain may not keep up 
with.
    Those are the biggest, I think, risks right now.
    Mr. Nehls. Fair enough.
    Do you have an estimate on how many pilots the regionals 
will lose to the major carriers over the next 12 months?
    Ms. Malarkey Black. The next 12 months, did you say?
    I think I actually saw estimates from 7,500 to 8,500 or so. 
And to put that into context, the pipeline actually produced 
about that amount last year--a little bit less, actually--and, 
using a 12-month rolling average, it looks to produce about 
8,000 or 8,300. So we are already behind.
    Mr. Nehls. Sure. So what that really means is that--the 
regionals serve 94 percent of our commercial airports--94 
percent.
    Ms. Malarkey Black. Correct.
    Mr. Nehls. The mainline carriers serve just 36 percent. So 
that means regionals serve two-thirds. They are the only mode 
of transportation, two-thirds of our Nation's airports. But yet 
you are going to lose all these pilots. And we could see that 
even--we are going to lose more service to more smaller 
airports as a result of the pilot shortage. It must be 
addressed this year. It has to be addressed.
    Mr. Dobberstein, Fargo--haven't been there, haven't been 
there--has received a few SCASDP grant awards. The program is 
appealing because it incentivizes local support of new air 
services that have the potential to continue unsubsidized.
    How have you been successful, and how has the local economy 
benefited? And do you have any suggestions to strengthen the 
program?
    Mr. Dobberstein. Thank you for the question.
    Yes, we have been the recipient of four SCASDP grants, 
dating back to 2005.
    The first grant was awarded to us when Delta Airlines 
implemented service to Salt Lake City. That was done in 2006. 
But unfortunately, the service was suspended in 2008 as Delta 
reallocated aircraft to Seattle and Los Angeles for other 
competitive reasons.
    Our second grant was awarded for service to Dallas back in 
2011. And that service is thriving today. It is doing 
extremely, extremely well.
    Our third grant was for Seattle service, working with 
Alaska Airlines. Fargo had a large population of Microsoft 
employees in our community that were traveling back and forth 
to Seattle. Unfortunately, the pandemic resulted in more 
virtual use of their time and less air travel, so we terminated 
that grant.
    And, currently, today, we have a grant on the table right 
now for implementing service to Charlotte, and we are working 
with American Airlines on that.
    My suggestions would be to increase the amount of funding 
for the SCASDP program, maybe reduce the number of recipients 
to increase the amount of money each recipient would receive 
due to the higher costs that are in place today with workforce, 
fuel, and other things.
    Mr. Nehls. Thank you.
    Mr. Collins, we are aware of the ballooning cost of EAS. We 
have lowered the subsidy cap in the FAA reauthorization. It 
will help.
    You have talked about the successes of SCASDP, where 
projects with a local match are more competitive.
    Two questions: Would the solvency of EAS benefit from the 
same sort of small, local investment? And what else can be done 
to reduce costs and increase our return on investment in the 
EAS?
    Mr. Collins. So, with respect to EAS costs, we do have 
ongoing work related to looking at ideas that stakeholders have 
for reducing those costs.
    Mr. Nehls. I will now recognize Mr. Carson for 5.
    Mr. Carson. Thank you, Chairman.
    I am curious--I opposed the administration's proposal to 
limit the Federal student loans for some of the programs that 
produce the most qualified pilots.
    Can you talk about the financial costs to becoming a 
commercial pilot and how updating Federal student loan 
eligibility could level the playing field and attract more 
diverse talent?
    Ms. Malarkey Black. Thank you for the question and for the 
interest.
    The first step to becoming a professional pilot is a 
private pilot license. So one thing we can do, which is 
actually outside the student loan program, is allow the GI bill 
to fund that. Today, the rules exclude that. So that is just a 
commonsense fix that we can make, to allow the GI bill, those 
earned benefits, to cover the full spectrum of pilot training.
    With respect to student loans, right now, it can cost 
almost $200,000 or so. And flight training is inherently 
expensive. If you think about it, you have aircraft, insurance, 
fuel, specialized instructors. So these are not ordinary 
college costs, and the Federal student loan apparatus was just 
not designed to support those costs.
    These are great money, good opportunities; they are 
transformational careers, but you have to be able to get there. 
The gulf that exists between the caps of student loans and the 
actual cost is upwards of $80,000. And so, with families 
without access to wealth or private capital, that gap is 
decisive.
    Mr. Carson. What are the biggest infrastructure needs 
small-hub and small airports have? Do small airport 
infrastructure needs evolve because of changes in airline 
services, i.e., airlines upgauging from smaller planes to 
larger planes?
    Ms. Malarkey Black. Sorry. The question was to me about the 
economics of small aircraft?
    Mr. Carson. Everyone.
    Ms. Malarkey Black. Yes.
    I think this is--this is a complex, cyclical kind of 
conversation. Sometimes we hear that the reason that these 
smaller aircraft are not in the market anymore is that the 
economics don't support it. In reality, we had a pilot shortage 
that absolutely collapsed capacity, and, as a result, the 
economics changed on those smaller markets.
    You have different pilot compensation costs--and, by the 
way, I think that was a good and valuable investment, but it 
did change the economics. And you also have network carriers 
that are trying to parse a limited supply. And so they do that 
by upgauging, by seeking to move more passengers at once.
    The problem is, when you upgauge because you have to, 
because you are trying to fill a need, not because the demand 
requires it, you lose destination options and you lose 
frequency. And then even fewer passengers use that route, 
because if they have the option to drive, they might. Of 
course, not everybody can drive. But those are the ways that 
something starting with a pilot shortage can weaken those 
economics and undermine the market.
    Mr. Carson. And, lastly, I authored Federal requirements 
for secondary barriers--controversial at first--in commercial 
passenger aircraft. Airlines and aircraft manufacturers have 
been making progress, but, in the last few weeks, there have 
been multiple attempts by unruly passengers to try to gain 
access to the cockpit or other doors.
    Where are your member airlines in installing secondary 
barriers? Is it still controversial? Has it been more embraced 
over the years?
    Ms. Malarkey Black. I think there is no controversy about 
the requirement. We understand the rule, and we intend to 
comply.
    What you may be referencing is the fact that--and, again, 
this speaks to the supply chain--in the timeline that was 
provided to comply with this, our manufacturer came up with a 
solution, but the facts are, regional aircraft don't look like 
mainline aircraft. We have a different forward lav, different 
setup. And so installing a door works on a narrow body or a 
wide body, but you can't install a door on a regional.
    So, when that actually came to market and was installed, we 
did find some safety and some occupational issues that had to 
be worked through. And so that is why you see some of these 
requests for an additional period of time to comply.
    But the goal is to get those secondary barriers installed 
and complete and trained.
    Mr. Carson. Thank you, ma'am. I yield back.
    Mr. Nehls. The gentleman yields.
    I now recognize Mr. Larsen.
    Mr. Larsen of Washington. Thank you, Mr. Chair.
    Mr.--just a moment. I thought I had a little more time.
    Yes. Mr. Pecoraro, I would like to ask you the same 
question that was just asked of Ms. Black about the cost-
efficiency, fuel-efficiency of a 50- to 100-seater and whether 
or not you think that helps to solve the issues.
    Is that a beneficial option for regional airports, the 
smaller airports?
    Mr. Pecoraro. Yes. Thank you, Mr. Larsen.
    I think when we look at the economics of air travel, I 
think it is pretty clear that if you have larger aircraft going 
into a community less frequently, what that does is it drives 
people who wanted to travel on a Tuesday but the aircraft 
doesn't leave until Wednesday to make the choice to drive 6 or 
8 hours or whatever it is to the next commercial airport that 
they need to get to.
    That is going to result in fewer people actually taking 
that aircraft, so instead of having reasonably full 50-seat 
aircraft, you are going to have maybe a one-third-full larger 
aircraft. The airlines are going to find that less sustainable, 
and it creates a cycle where people are going to make the 
choice that they are going to find other ways to get places.
    What that does to the community is it decreases their 
access to air service, it decreases their access to business 
opportunities, economic development, healthcare delivery 
services, other professional services, tourism. And so it 
creates a vicious cycle, and so, it is self-defeating in a 
larger sense.
    So that is why I think that if aircraft were available and 
the market could choose the right-sized aircraft that were 
available to fit different communities, we would see much more 
robust activity in these communities.
    Mr. Larsen of Washington. Yes. Thanks.
    Mr. Collins, I noted in your testimony that you have 
started or you are studying the high school programs that 
support aviation maintenance technicians. And, thinking about 
the workforce, do you have a timeline for when you expect to 
finish that?
    Mr. Collins. We hope to have that work completed in 2027. I 
can reach out to your staff and give you a more direct 
timeframe.
    Mr. Larsen of Washington. All right.
    And related, then: Have we asked you to look at the 
Aviation Workforce Development Grant Program? I noted that the 
administration has come out with a NOFO on it. I am a little 
disappointed with the NOFO. But have you looked at the grant 
program that we first created in 2018, those section 625 
grants?
    Mr. Collins. I will need to get back with your staff to see 
if we have had any prior work and then to see if that grant 
program will be a part of any upcoming work.
    Mr. Larsen of Washington. Yes. Great. Thanks. I appreciate 
that very much.
    Ms. Black, please explain how this unexpected fuel shock 
has impacted carriers.
    Ms. Malarkey Black. Absolutely.
    So there are two business models that govern regional 
airlines--the way that we bring passengers to larger airlines 
and through the system. One is capacity purchase agreement. 
That is where, essentially, we operate the flight with our 
aircraft and our crews and maintenance but the major airline 
sets the fare and pays the fuel.
    So we are not necessarily directly impacted under those 
business relationships, but the market dynamics are. And on a 
smaller flight, again, with fewer seats over which to absorb 
costs, in a thin market that is already fragile in terms of 
margins, those economics can get upside-down pretty quickly. 
And that is why, even though we don't necessarily write the 
checks for the fuel, it can impact the communities that we 
serve.
    Mr. Larsen of Washington. Great.
    And, Mr. Dobberstein, have you seen the impact of that 
experience in the last 12 to 13 weeks, on the fuel prices?
    Mr. Dobberstein. Definitely. Certainly, increased cost to 
our passengers in our region has had an impact on their 
financial ability and so forth. But, yes, we definitely have 
seen an impact on that as well.
    Mr. Larsen of Washington. Has that meant fewer enplanements 
out of Fargo?
    Mr. Dobberstein. Not necessarily. We have been fortunate to 
have record enplanements so far since January of this year. But 
we do expect----
    Mr. Larsen of Washington [interrupting]. Just more----
    Mr. Dobberstein [continuing]. It going forward.
    Mr. Larsen of Washington. Just more complaints.
    Mr. Dobberstein. More complaints. Yes, that is correct, 
sir.
    Mr. Larsen of Washington. Yes. Sure. Thank you.
    So, when we increased the--sorry. I will be quick here.
    When we increased the AIP to $4 billion annually, a large 
portion of the increase went to smaller airports. Have you been 
able to take advantage of that particular set of dollars?
    Mr. Dobberstein. Yes, sir. We are in the middle of a major 
terminal expansion project in Fargo. It is about $110 million. 
And we have been working with our congressional delegation and 
the FAA to obtain those funds, yes.
    Mr. Larsen of Washington. That's great. I appreciate it. 
Thank you very much.
    Mr. Dobberstein. Thank you.
    Mr. Nehls. The gentleman yields.
    I now recognize Mr. Perry.
    Mr. Perry. Thanks, Mr. Chairman.
    And I thank the witnesses for being here.
    The purpose of this hearing is to highlight some of the 
issues hindering air service to small communities and look at 
the Federal programs intended to support those services.
    Unfortunately, I think--I would just like to have a 
discussion about this--we keep on throwing money after what 
seems to be economically unfeasible routes. And these market 
interventions have, in turn, created additional problems that 
we want to address, but the answer always seems to be ``throw 
more money at it.'' And I am not sure that is the best answer, 
and certainly I don't believe that is the sustainable answer.
    It is the inevitable result of a program like EAS--and I 
know each one of you, I think, has supported it and said that 
we should actually do more of it. But it does allow the 
Government to choose winners and losers based on what are 
oftentimes political calculations as opposed to actual service 
needs.
    The program was created by the Airline Deregulation Act of 
1978 as a temporary--I will remind everybody--a temporary 
program as the industry was deregulated. It is the perfect 
example of no Government program really being temporary. It is 
nearly 50 years later, and the program remains in place, 
receiving $687.5 million in fiscal year 2026.
    In recent years, the program costs have skyrocketed, 
increasing 31 percent from 2018 to 2024. And there seems to be 
little incentive to maximize productivity, because the 
Government just pays for it.
    The subsidy does pick winners and losers among airports and 
communities, as neighboring airports compete against those that 
are subsidized by taxpayers at the Federal Government level for 
essentially the same market, in many cases. Making matters 
worse, the DOT has approved subsidies for EAS-funded leisure 
routes, creating even more Government-funded competition for 
non-EAS airports.
    Moreover, the EAS program as well as the SCASDP program 
have created perverse incentives for airlines that damage the 
ability of non-EAS airports to compete with their subsidized 
neighbor airports, as they are forced into a pay-to-play 
revenue-guarantee scheme just to attract the service.
    Now, Congress has acknowledged the unfairness of these 
subsidies for neighboring airports when creating the program, 
and it structured it to alleviate the most obvious economic 
harm created by the issue, which is banning access to EAS 
subsidies within 70 miles of medium- and large-hub airports and 
placing reasonable restrictions within 175 miles.
    Those restrictions have not applied to small-hub airports, 
however. And those are the ones that have far more limited 
financial resources to withstand the competition, and they 
could actually benefit from additional enplanement.
    As a result, we end up with absurd outcomes like you have 
in the district that I am honored to represent, where 
Harrisburg International Airport is forced to compete with an 
EAS-subsidized airport 32 miles away.
    And I am not trying to punish that airport. I mean, I am 
happy for those folks, and I have landed at that airport. We 
are happy that it is there. But I have to defend the airport 
and the airport system that I represent.
    This is to Mr. Collins: Do you think applying the 
preexisting restrictions to small-hub airports would help 
foster a more fair environment that doesn't force airports to 
compete with neighbors that are funded by their own tax 
dollars?
    Mr. Collins. So we have not taken a position on that 
particular issue. Ultimately, those are----
    Mr. Perry [interrupting]. Yes, but I have to take a 
position on that issue. So we are here to discuss that, and it 
would be great if the experts, so to speak, would weigh in with 
something other than, ``Yes, the situation sucks, but we don't 
have an answer, so you all figure it out.'' That is why we are 
having the discussion--like, that is essentially what we are 
saying here, right?
    So can you--you are saying you don't take--does anybody 
take----
    Mr. Collins [interrupting]. So what I can say is, in our 
discussions with stakeholders, some have noted that perhaps, 
with EAS, it should be targeted to those communities that are, 
quote/unquote, ``truly remote,'' which, again, is a decision 
for Congress to make.
    But, to your point, there are voices that understand that 
the subsidies can create distortions in the market. And 
ultimately, again, it is up to you all to decide which----
    Mr. Perry [interrupting]. Well, it would be good to have, 
like, some information from you folks that live this day-in and 
day-out.
    Look, I am a fan of airports. I used to fly and land at 
them. We are not building any new ones, so we want to retain 
the ones that we have. We all get that.
    But what market-based reforms do you think could be made to 
help these airports grow, without throwing more tax dollars to 
make them compete against the very money that they earned 
against their competitors just a few miles away?
    And, like I said, we are not mad at their competitors. We 
want them to remain, too. But there has to be some market-based 
approaches, because the Government has sought to fix this 
problem, they haven't fixed the problem, and the answer is to 
throw more money at it, which tends to make either the problem 
worse for the airport that is not participating or create a 
whole new problem which we are not addressing.
    Mr. Nehls. The gentleman has run out of time. You may have 
to send him an email.
    I now recognize Ms. Scholten for 5 minutes.
    Ms. Scholten. Thank you so much, Chair Nehls and Ranking 
Member Carson, for holding this really important hearing.
    The Essential Air Service program is truly a lifeline in my 
district and throughout other portions of rural America.
    Muskegon County Airport is a key connector to west 
Michigan, and since changing EAS providers, the airport and 
surrounding region has seen incredible growth. In just 1 year, 
MKG has seen a 55-percent increase in passenger activity. 
Through support from the EAS program, enplanement at the 
airport has increased by nearly 200 percent, putting it on a 
clear path to return to primary airport status.
    Additionally, the airport has made measurable progress in 
reducing its EAS support, from $484 per passenger in 2025 to an 
expected $300 or less in 2026. This is significant progress, 
and it is why I am so concerned about proposed statutory 
changes to the EAS program outlined in the President's fiscal 
year 2027 budget.
    The proposed changes would eliminate EAS budget eligibility 
for communities within 75 miles of small-, medium-, or large-
hub airports. Additionally, the language would eliminate 
program eligibility for communities whose per-passenger subsidy 
exceeds $350 in the most recent fiscal year, regardless of 
distance from the hub.
    If the President's proposals were enacted, rural 
communities, including Muskegon, would be cut off from critical 
aviation and, effectively, the rest of the country.
    The demands for these services are real and will not simply 
disappear. Costs will be displaced onto residents and 
businesses looking to grow their workforce.
    Mr. Pecoraro, can you please speak to the economic impacts 
associated with successful use of the EAS program, as well as 
how limiting access to the program would hurt local job growth 
and tourism?
    Mr. Pecoraro. Thank you, Ms. Scholten.
    First, let me thank you for mentioning Muskegon County 
Airport. It is a great success story in Michigan, and we are 
very pleased at how well they are doing there.
    I would note that, in Michigan, in addition to that, 
Michigan DOT's Office of Aeronautics operates a commercial air 
service development program providing annual grants to 
commercial service airports across four areas: capital 
improvements to the equipment, air carrier recruitment and 
retention, airport marketing, aircraft rescue/firefighting 
training.
    State engagement in these opportunities is critical for 
airports. And I think that in Michigan, we are seeing great 
examples of how that works. And we love to see it when State 
aviation agencies have the resources to be able to support 
those types of programs.
    And I think that that is a great example of what is 
necessary, to the point of your question, is that we need a 
holistic approach to solving this problem. It is bigger than 
any one airport, any one Federal program, any one State. There 
needs to be a larger approach to this to really try and get to 
this whole range of problems in order to make an airport 
ecosystem healthy.
    And so that is what we are encouraging, and that is what we 
support today.
    Ms. Scholten. It is absolutely what we are seeing on the 
ground as well. So thank you for that.
    Keeping on with the economic development, families across 
the Nation are feeling the pain at the gas pump as the 
President continues unauthorized military action in Iran. And 
we are so proud of the War Powers Resolution that we got passed 
in the House of Representatives yesterday to give the people 
their voice over this issue.
    In the aviation sector, fuel is a major operating expense, 
so increased prices could drive up costs. While higher fuel 
prices may not always result in a complete loss of service, 
they can absolutely make it more difficult to operate smaller 
aircraft on routes that already have really thin margins.
    You know I am coming to you, Ms. Black. You are already 
nodding.
    In your written testimony, you touch on the threat of jet 
fuel prices to small communities. Can you describe how fuel 
costs influence decisions about route frequency, aircraft 
deployment, and service to smaller communities?
    Ms. Malarkey Black. I am going to start with the mechanics 
of the cost, because that is the part that we control.
    And when you deploy a small aircraft, whether that is 50 or 
76 seats, you don't amortize the costs, whether it is labor or 
fuel, the same way that you do over 135, 150, 300 seats, right? 
So the math is just very different.
    And when you are going into small communities, they have 
fewer passengers traveling, so these are already fragile 
markets. And, in that way, it can become unprofitable very 
quickly. So it is not just a matter of our costs are lower 
here, but we are actually in the red.
    Where those actual deployment decisions lie are with our 
major airline partners. But we can tell you that, when capacity 
is extracted from the system, it is typically regional 
capacity, and it is typically the smaller communities that are 
impacted first, in part because that inconveniences the fewest 
amount of travelers. But, unfortunately, for those in rural 
communities, it can be very painful.
    Ms. Scholten. Okay. Thank you.
    I am over my time, so I will yield back. Thanks for the 
response.
    Mr. Nehls. Mr. Stauber, you are recognized.
    Mr. Stauber. Chairman Nehls, Ranking Member Carson, let's 
get some spice into this meeting. We are talking about rural 
America, rural airports--Fargo, Duluth, Hibbing, Bemidji, 
Brainerd, International Falls. They matter. Our rural 
communities matter.
    I am so proud of each and every one of you talking about 
rural America and rural aviation. Our communities need it. And 
this is a bipartisan issue. The vast majority of us support 
rural America, rural aviation, the connection therefore. We are 
not taking a back seat. None of you at that dais are taking a 
back seat, and I am so proud of you.
    Mr. Dobberstein, $100 million in Fargo--that is 
spectacular. We have a $20 million investment in the third 
oldest control tower in America, the Duluth air traffic control 
tower. We are getting a brandnew one, 21st century.
    I am excited about these programs, and I am excited to 
invest in rural America. We have taken a back seat long enough.
    I know each and every one of you are proud of your rural 
airports--in Michigan. They matter to those communities. We 
shouldn't have to drive 6 or 8 hours. We shouldn't have the 
airline saying, ``We are going to bring bigger aircraft, 300-
seat aircraft, and we are not filling them, so we are only 
going to come every third day.'' We need everyday service in 
our rural communities.
    And one of the questions that was asked was the 50-seat 
passenger aircraft. Maybe we should talk to the aircraft 
manufacturers and work on getting more, because our rural 
airports serve the metro, the major ones.
    The value that rural aviation brings to our economies and 
to the United States of America is incredible. You folks are 
the best spokespersons for that, and I am proud of you.
    Mr. Dobberstein, how do Federal investments in rural and 
regional airport infrastructures, like the Duluth air traffic 
control tower, help grow surrounding communities and ensure the 
viability of regional flights for the foreseeable future?
    Mr. Dobberstein. Thank you, Congressman, for the question.
    Well, it is imperative. My mantra has always been that it 
takes three entities to support infrastructure investment in 
rural airports. It is the Federal Government. It is the State 
government, as well as the local community. Without those three 
working together, it would be impossible to fund airport 
infrastructure projects of the magnitude that we are doing in 
Fargo and other small rural communities around the country.
    Mr. Stauber. Yes. It is that partnership that you see in 
local, State, and Federal. That is exactly what we did in 
Duluth's ATC.
    Mr. Pecoraro, in what ways can programs like the Essential 
Air Service and the Small Community Air Service Development 
Program adapt to meet the needs of the community, the specific 
issues within the communities?
    Mr. Pecoraro. Thank you, Mr. Stauber. That is an important 
question. I think that the way that we would like to see both 
EAS and Small Community Air Service Development Program work 
together is to look at the larger needs of these communities 
and figure out in the many years since these programs have been 
created, how has the industry changed? And I think that is a 
critical point to make. The way that the airline industry 
operated 40 years ago or more when these programs were created 
is very different than it is today.
    And so the way we are going to serve these communities and 
support them is going to be very different than it was back 
then. So that is what is necessary, is to bring together all 
the stakeholders, including State and local governments, to sit 
down with Federal agencies to figure out exactly what we need 
to do to retool these programs to make them more cost-
efficient, to make sure that there is local support for them 
because we don't expect the Federal Government to do it all by 
itself, and to make sure that we are able to provide the type 
of service that all these communities need.
    Mr. Stauber. I appreciate that answer. I like the ability 
for our local community regional airports to make some of the 
decisions themselves, not be tied so tight to demands. I think 
you would agree. Allow our local communities to have some 
flexibility in their design or passenger experience. Would you 
agree with that?
    Mr. Pecoraro. Yes, sir. And we also think that, looking to 
the future, that general aviation airports also have an 
important role to play, particularly as emerging aeronautical 
technologies provide some new opportunities for people to 
access the aviation system.
    Mr. Stauber. Yes. Well, listen. I am so excited. I couldn't 
wait for this hearing because you are all proponents of what we 
believe in, rural aviation. We are not going to take a back 
seat, okay? We are going to be loud and proud, supporting our 
small rural communities, because we matter. Those of us who 
live in rural America matter, and you guys are in the fight 
with us, and I know that the chairman and ranking member are as 
well. I yield back.
    Mr. Nehls. Love the passion, Pete. I love it.
    Ms. Gillen, you are recognized.
    Ms. Gillen. Thank you, Mr. Chairman, and thank you, Ranking 
Member.
    And thank you to our witnesses for being here today.
    I am proud to represent New York's Fourth Congressional 
District on the South Shore of Long Island, which is the home 
to TRACON N90, which manages the most complex and congested 
airspace in our country. As I saw firsthand when I visited, 
this facility relies on outdated technology, posing serious 
safety risk for the region and for our skies across the 
country. We must do more to invest in the safety of our 
airspace and give our controllers the resources that they need.
    It is equally important that we invest resources in our 
airport towers, large and small. My district abuts to the most 
busy hubs in the country, JFK and LaGuardia Airport, but also 
smaller airports on the East End of Long Island. And I believe 
all of these airports deserve our support.
    The smaller airports participate in the FAA's Contract 
Tower Program, which allows the airports to contract out 
operation of their towers to save these systems money and 
enhance safety. Unfortunately, many of these contract towers 
lack access to real-time situational awareness tools that are 
now the standard at the larger airports and that enhance the 
controller's visibility of aircraft operations.
    Last month, my colleague Congressman Begich and I worked 
together to introduce the bipartisan Air Traffic Situational 
Awareness Enhancement Act, which would help close this gap by 
requiring the FAA to acquire and install these tools at 
contract towers and establish a training program to ensure 
controllers can effectively integrate and use them. I 
appreciated Ms. Black mentioning this important initiative in 
her testimony.
    So, Ms. Black, I would like to give you a chance to speak a 
little bit about this important issue and how critical it is 
that we address the safety gap and move our legislation through 
Congress.
    Ms. Malarkey Black. Thank you, Congressman, and thank you 
very much for your bill.
    When we talk about air traffic control modernization at 
smaller communities, sometimes that just means doing the 
basics. And, as you recognized, some of the towers don't have 
radar. They don't have ADS-B In in the tower. They don't have 
that advanced digital situational awareness. And so they are 
looking out the window to separate aircraft visually. That is 
risk in the system, and it is something that we can mitigate 
right now. Your bill would do it. We are strong supporters. And 
count on us to help you advance it, because it should be 
passed.
    Ms. Gillen. Well, thank you. I appreciate that.
    And, as I mentioned, TRACON N90, the air traffic control 
facility for managing the New York airspace, is located in my 
district, and N90 controllers are responsible for managing air 
traffic in and out of two of the busiest airports in the world, 
JFK and LaGuardia, in addition to the smaller regional airports 
in the region like Republic Airport in Farmingdale and 
MacArthur Airport in Islip.
    Despite their role managing the busiest airspace in the 
country, the N90 facility is among the most outdated and 
understaffed. While our aerospace industry continues to 
innovate and evolve, our controllers at N90 still work with 
floppy disks and paper strips. Mr. Dobberstein, in your 
testimony, you mentioned the impact of air traffic control 
constraints on smaller communities like yours. Can you 
elaborate more on the problems that these smaller communities 
face today because of our lack of investment?
    Mr. Dobberstein. Well, one example would be the reduction 
in our frequencies to Chicago. Earlier this year, one of our 
carriers announced that they were going to add service to 
Chicago, additional capacity opportunities for our passengers. 
And then, as the cap came in place between the FAA at Chicago 
O'Hare, those flights were taken out. So our community is going 
to miss out on that additional frequencies and opportunities 
for our traveling public in our region.
    Ms. Gillen. Thank you.
    Mr. Pecoraro, you spoke in your testimony about the 
potential of advanced air mobility to transform how people and 
goods are moved. I have met with AAM companies and am excited 
by the opportunities that their aircraft present to reduce 
airplane noise and traffic congestion in my community on Long 
Island and across our country. Can you briefly talk about the 
potential for these new aircraft and the barriers that smaller 
airports like Republic and MacArthur may face in supporting 
their operations?
    Mr. Pecoraro. Sure. Thank you, Ms. Gillen. Yes.
    Briefly, I will just say that we think that, while AAM is 
not a short-term solution, certainly it has tremendous 
potential in the longer term to provide a great deal of 
additional access for people in a cleaner and quieter fashion. 
And we think that is certainly going to be important, 
particularly in districts like yours where that is a concern of 
many residents.
    We think that one of the most exciting parts in the shorter 
term of providing this type of access is for fixed-wing hybrid 
aircraft to be able to provide regional aircraft--as we are 
talking about access to smaller communities--to maybe support 
or replace some of the aircraft that we were talking about 
earlier that are phasing out of their life cycle.
    Ms. Gillen. Thank you. I look forward to working with you 
on this going forward.
    Mr. Nehls. The gentlelady yields. I now recognize Mr. 
Owens.
    Mr. Owens. Thank you. Thank you, Mr. Chairman and Ranking 
Member. I appreciate today's hearing on connecting rural 
America to the National Airspace System and the chance to look 
hard at whether our policies actually deliver for small 
communities. We rightly tout the safest, most advanced airspace 
in the world. But for too many of our rural families, the more 
basic question is whether they can access it at all.
    When smalltown airports lose meaningful service, the only 
option becomes hours on the road to reach a hub. It means lost 
jobs, missed medical appointments, and young people simply stay 
home instead of chasing opportunity. And small businesses and 
local economies that depend on these flights feel it 
immediately.
    In the 2024 FAA reauthorization, Congress and President 
Trump laid out a roadmap for rural aviation strengthening 
Essential Air Service and increasing airport improvement 
funding for airports that keep rural America connected. The FAA 
now has more authority and resources to support small 
communities than it has had in years, and I appreciate the 
professionals that are there who are trying to put these tools 
to work.
    Folks back home assess by what they see on the departure 
board, not by what is written in statute. They see flights 
disappearing from small and nonhub airports. They see fares 
that climb faster in smaller markets than big hubs. And they 
see airlines consolidating services into a handful of major 
airports. The message we hear is simple: If Federal support and 
subsidies are on the table, we need to translate it to real 
opportunities for rural travelers, not just good intentions. I 
look forward to hearing from our witnesses today what target 
steps this subcommittee and the Trump administration should 
take next to make sure rural Americans get more than just a few 
promises on paper.
    With that, I move on to my questions.
    Ms. Black, in rural States like Utah, many small airports 
may never see a regional jet again, but they could receive 
supportive advanced air mobility, port-to-port connectivity 
that underserved communities need. With companies like BETA 
Technologies already active in Utah, ahead of Olympics and DOT 
leadership, publicly highlighting these opportunities, what 
does the regional airport industry need to see from Congress to 
ensure small airports are not left behind as AAM scales, and 
are we putting the right infrastructure and certification 
framework in place to make that happen?
    Ms. Malarkey Black. Thank you for the question.
    We are very excited about AAM technology. Unlike a lot of 
investments, this is coming to market on the smaller side and 
capacity, on the regional side. So we are excited about it.
    At the same time, some of these developments are 5, 10 
years away. So we do still need to have investment in the fleet 
to conserve markets right now.
    In terms of helping airports prepare for bringing this 
technology online, I think some of the support may be 
financial. They need to be able to meet the needs of the new 
aircraft, having charging infrastructure, change the way that 
we are dealing with propulsion and the maintenance. And so, I 
think continuing to look at that would be really important. At 
the FAA, it is important that they have the ability to certify 
these new technologies as they come online and help to 
integrate them into the system safely.
    Mr. Owens. Mr. Collins, GAO has been tracking small 
community air service for years. When you look strictly at the 
data since the 2024 FAA reauthorization, including new subsidy 
caps, SCASDP increases, and AIP changes, do you see any early 
signs that these reforms are stabilizing the service at small 
and nonhub airports, or are we still on the same downward 
trajectory in terms of departure and connectivity?
    Mr. Collins. Our work has shown that we are still on the 
same downward trajectory. I think one of the challenges with 
the SCASDP grants is they are facing cost pressures and can't 
always provide the minimum revenue guarantees that airlines are 
demanding. And that makes it difficult for them to attract and 
then, once they attract, continue service.
    Mr. Owens. Okay.
    Mr. Pecoraro, setting Federal policy aside for a moment, 
what is the most effective thing State aviation agencies can do 
right now with the tools already in hand to strengthen rural 
air service, whether it's targeted State grant programs, 
coordinated marketing, or smarter system planning, what does a 
gold standard State playbook look like, in your view?
    Mr. Pecoraro. Thank you, Mr. Owens.
    Certainly, system planning is always critical. To be able 
to look ahead and understand what the changing needs of the 
community are going to be so that we can help those local 
airports plan for that service is always critical.
    The second most important thing, I think, is the 
partnership that State aviation agencies have with the FAA. 
State agencies who work closely with the FAA from the 
headquarters to the regional offices to the airport district 
offices to make sure that the right funds are flowing to 
airports in accordance with that system plan so that we can try 
and meet the infrastructure needs of those airports. And that 
is a great deal of what State agencies are concerned with, is 
trying to make sure that the infrastructure is right.
    Beyond that, and I would say, looking to the future, we 
have got to look to how we want to develop the airports of the 
future. And so we appreciate this committee in the 
reauthorization bill creating planning grants so that airports 
and State aviation agencies are going to be looking at those 
issues in the near term so that we will be prepared for the 
future.
    Mr. Owens. Thank you. And I yield back.
    Mr. Nehls. The gentleman yields. I now recognize Ms. Titus.
    Ms. Titus. Thank you, Mr. Chairman.
    I represent the First Congressional District in Nevada. 
That is the heart of southern Nevada, including Las Vegas. But 
you also have the Henderson Airport and the Boulder City 
Airport, and traffic is increasing to both of those general 
aviation as people come in to Las Vegas for all these big 
events that we are anticipating. We have got 40 million 
visitors a year, and travel and tourism contribute $86 billion 
to our economy. So this is the key to our success and survival.
    As a member of this committee, I have always had a priority 
to be sure that everybody has access. We want people to come 
from everywhere to Las Vegas. So small town, rural, big city, 
we want them to have that kind of access that is convenient and 
affordable. And we know that their experience in Las Vegas 
begins the minute they get to the airport or get on the plane. 
It doesn't start once they get to the Strip.
    So Federal assistance like the Small Community Air 
Service--let me get this right--Small Community Air Service 
Development Program has helped people from all kinds of 
different regions. I think a couple of years ago, both Salem, 
Oregon, and Corpus Christi, Texas, received some of this 
funding that supported marketing and revenue sharing for Las 
Vegas routes.
    So can I ask you, Ms. Black, how would you speak to the 
contribution of regional airlines to supporting travel and 
tourism? How does travel and tourism impact your members' 
decisions of what routes to add, and are there any emerging 
markets that you all are looking at or changing up, like 
southern Nevada?
    Ms. Malarkey Black. Thank you for the question.
    Regional air service to the smallest communities alone, I 
will start with the big one, is the economic impact. It drives 
$153 billion in yearly economic activity. And that's probably a 
conservative estimate, because we weren't able to capture all 
of the downstream that you are talking about that really does 
generate.
    But the part that is missing from that equation is quality 
of life and the ability to connect to places like Las Vegas 
from wherever you are. Sometimes we treat driving and flying 
like it's neutral exchange, and it's not. It's actually--there 
is a safety benefit as well, because last year, almost 40,000 
people lost their lives on the highways. Flying is much safer. 
So air transportation is part of a safer transportation system.
    When it comes to the programs that support it, EAS 
similarly is a force multiplier. It drove $2.3 billion of 
economic activity before the pandemic, supported 17,000 jobs. 
These are just some of the ways that air service is extremely 
valuable. We should continue to keep supporting it.
    Ms. Titus. Thank you.
    Part of this access, too, is affordability. And so I ask 
you, Mr. Collins, we have seen the domestic airfare for most of 
the small communities has increased at a higher rate than from 
the major carriers. Is there a reason for that domestically and 
something we need to be doing to address it to help with that 
situation?
    Mr. Collins. So we have not done specific work looking at 
the changes in airfares. What I can say is that generally, the 
increased operating cost is having an effect for all routes 
within the country.
    Ms. Titus. I know that's true, but I think there are some 
statistics that show it has increased more for these small 
regional airlines than for the bigger ones, and I thought maybe 
there is a reason for that.
    Mr. Collins. Yes. We have not done any work to----
    Ms. Titus [interrupting]. Economies of scale, maybe.
    Okay. Well, domestic travel is more important than ever 
right now because international tourism is down. We certainly 
see it from Canada and Mexico in Las Vegas. And all across the 
country people aren't coming here. It is more expensive. The 
gas is higher. The rhetoric is negative. The visa process is 
lengthy and complicated. We are adding fees to national parks. 
That is not helping with tourism. Adding requirements for 
looking at your social media to get a visa, that is not helpful 
for tourism. So the more you all can do internally, the better.
    I would just mention real briefly getting the TIFIA 
eligibility in the recent moved 250 bill seems to be something 
that will perhaps help you with the infrastructure of your 
airports. Are you all involved in that or aware of that or----
    Mr. Pecoraro [interrupting]. Yes, ma'am. That's certainly a 
valuable tool that many airports use.
    Ms. Titus. Okay.
    Mr. Pecoraro. And I would just say, if I could, Elko 
Airport in Nevada, I am not sure if that is in your district--
--
    Ms. Titus [interrupting]. No, it's not, but I am aware of 
it.
    Mr. Pecoraro. That has been one of the real success stories 
using the Small Community Air Service Development Program to 
restore midday service to the airport.
    Ms. Titus. Great. And I have to drive all that way on the 
loneliest highway to get from Elko to Reno. It's a long way.
    Mr. Pecoraro. Yes, ma'am.
    Ms. Titus. Thank you very much. I yield back.
    Mr. Nehls. The gentlelady yields. I now recognize Mr. 
Barrett.
    Mr. Barrett. Thank you, Mr. Chairman.
    Thank you all for your testimony. And I think, as we look 
at the nature of what we are discussing today, too often we 
talk about rural communities--like the area that I serve or 
other small towns and medium-sized communities across our 
country, especially in the Midwest--we call those flyover 
country. Well, those aren't flyover country. They are areas 
where people take off and land and go about their business that 
they need to connect to the national airspace and get to their 
destination.
    I take the flight from Lansing here to Washington, DC, 
right, from my district close to home and can arrive here 
safely and in time for the responsibilities and the business of 
the day that I have here as a Member of Congress. And that is 
an important thing that I appreciate. And other people are on 
that flight; they are connecting to somewhere else at 
Washington, DC, or whether they have business here, connecting 
our State capital with our Nation's Capital is an important 
piece. But that is true of every regional airport we have 
throughout our country, that it connects people to the places 
they need to go or to the next stop in their travel, ultimately 
to their final destination.
    Mr. Pecoraro, right? Did I say that correctly? I know you 
were talking to my colleague, Ms. Scholten, about some of the 
synergy between the State of Michigan and our aviation office 
there and some of the Federal programs and everything. I was 
curious, one of the things we are proud of in Michigan, in 
Lansing in particular, is there is the shared collaboration 
with Lansing Community College around their maintenance program 
they have through Lansing Community College at a municipal 
airport outside of Lansing that they train students on for 
aircraft maintenance. That can be a tremendous career and can 
help kind of break through some of that shortage that we have 
now. I was curious if you had any thoughts on that or any of 
the work that is being done through, kind of, an innovative way 
that we have seen in my district.
    Mr. Pecoraro. Sure. Thank you, Mr. Barrett.
    I don't know the specifics of that particular relationship, 
but I do know that, as I have traveled around the country 
visiting with State aviation agencies and talking with them, 
that is not an uncommon relationship. And you find frequently 
that State aviation agencies, local airports, local educational 
facilities, particularly those who are providing that type of 
aeronautical training, have developed really valuable 
partnerships, because nowhere more so than in aviation do 
people appreciate the tremendous importance of building that 
pipeline for the workforce early on in trying to bring young 
people into the industry and bring them into these really good-
paying jobs----
    Mr. Barrett [interposing]. Yes.
    Mr. Pecoraro [continuing]. And keep them in the community 
doing those jobs.
    Mr. Barrett. Yes. Great careers that they can do at an 
affordable tuition rate, close to home. Maybe they can still 
live at home while they are completing this program.
    Mr. Pecoraro. Absolutely.
    Mr. Barrett. It is ranked currently as the best in the 
Midwest. That is something we are very proud of and would 
encourage any time you would like to come visit. We would love 
to have you see it.
    Mr. Pecoraro. Thank you. I would love that.
    Mr. Barrett. And appreciate that.
    Ms. Black, I had a question for you. I know you mentioned 
earlier in your testimony about the Montgomery GI bill and some 
of the limitations around flight training there. I know that we 
do have an ability right now to use the GI bill for flight 
training, but there are annual caps around that. I happen to 
also serve on the VA Committee, which, of course, is not the 
subject directly of jurisdiction, but just last month, we 
reported a bill favorably out of committee that would increase 
that cap to where it is not running on an annual basis. It 
would be a cap for the entirety of the benefit. With that, it 
would be a $100,000 lifetime cap, more or less, that you could 
take at your own pace to achieve the flight training that you 
need. Obviously there are limitations on that. We want 
accredited programs so that people are getting real benefit out 
of that. Would that help resolve the issue that you have 
described?
    Ms. Malarkey Black. Yes, it does help. Anything that starts 
to right-size the ability to finance the education for the 
actual cost of the education is very helpful. One of the most 
important things that can be helpful there, though, is allowing 
that GI bill to be used for the first phase of certification, 
which is a private pilot certificate. Right now, the rules 
preclude using for that, and that is the gateway, and that can 
cost $20,000 or more. So it is a prohibitive expense for people 
to cover out of pocket just to get in. So that is something 
that would be very effective.
    And, if I may, no flyover country. We have built our 
business around landing at the places where other people fly 
over. So thank you for saying that.
    Mr. Barrett. Yes. Thank you.
    Last question with the time I have left. I know you 
mentioned some of the issues with ADS-B and other things. We 
have taken on a considerable amount of effort here after the 
tragedy that we had here over Washington, DC's airport about a 
year and a half ago. Yesterday, I had a meeting with some 
airline pilots who are from my district who said that ACAS 
technology could be a considerable number of years away, 
whereas we seem to be taking testimony that it is far closer 
than that, maybe within the next year. Do you have any thoughts 
on where that stands? If it is a technology gap, if it is a 
hardware gap, or if it is something that we can integrate more 
quickly.
    Ms. Malarkey Black. I would start with saying ACAS X is the 
end goal. We support it. We thought that the committee looked 
at the advanced technology. There is a misconception out there 
that only ACAS X is the long-lead technology. In fact, for a 
lot of the fleet, including almost all of the regional airline 
fleet, there is not right now certified product for ADS-B In 
for regional, so we support that. But what we suggest is a 
bridge that allows us to get right now those safety 
improvements rather than waiting until 2031 or, in reality, 
likely after that, because the supply chain is not positioned 
to get us there by 2031; to use the electronic flight bags is 
an interim measure that will immediately start providing a 
safety increase and enormously increase situational awareness 
compared to where it is now.
    Mr. Barrett. Thank you, Mr. Chairman. Apologies for running 
late.
    Mr. Nehls. The gentleman yields.
    I now recognized Ms. Norton.
    Ms. Norton. Thank you.
    I have been working for years to combat aviation noise in 
the District of Columbia. The 2024 Federal Aviation 
Administration reauthorization law included my provision 
requiring the Government Accountability Office to conduct a 
study of helicopter noise in the National Capital region. The 
study, which was published in March of this year, recommended 
that the Army, Navy, Air Force, and the Department of Homeland 
Security develop and implement awareness and outreach programs 
for communities affected by helicopter noise in the National 
Capital region.
    Mr. Collins, what progress have these agencies made in 
implementing this recommendation?
    Mr. Collins. So, DoD agreed with our recommendations, and 
they are planning to provide us with a corrective action plan 
later this month. And that plan will outline the steps that 
each service will take to implement the recommendations. And so 
we can keep you and your staff apprised once we receive the 
plan.
    Ms. Norton. Thank you. I yield back.
    Mr. Nehls. The gentlelady yields.
    I now recognize Mr. Bresnahan.
    Mr. Bresnahan. Thank you, Mr. Chairman.
    This hearing hits home for Pennsylvania's Eighth 
Congressional District. Northeastern Pennsylvania is home to 
the Wilkes-Barre/Scranton International Airport, as well as 
smaller general aviation hubs like Hazleton Regional, Mount 
Pocono, Cherry Ridge, Flying Dollar, and Wyoming Valley. 
Nonairport hubs, like AVP, don't always make it into national 
conversations but are just as critical to the region's 
connectivity and economic vitality.
    Northeastern Pennsylvania interstate rail service--not 
yet--has limited intercity bus options, which means aviation 
isn't just a convenience for my constituents. It is a lifeline.
    I am glad the subcommittee has taken the time today to 
focus on the challenges facing small and rural communities and 
make sure they are not left behind.
    One of the most pressing issues facing AVP--Wilkes-Barre/
Scranton International Airport--is the FAA has proposed the 
decommissioning of the MALSR approach lighting system on 
popular runway 4. Ms. Black, regional carriers like Piedmont 
are the ones actually flying into airports like Wilkes-Barre/
Scranton. AVP has shared concerns that the decommissioning of 
these MALSRs will lead to higher approach minimums, reduce 
capacity, more cancellations, and ultimately lost service. From 
your perspective, how does degraded approach infrastructure or 
safety infrastructure in general factor into an airline's 
decision to maintain or reduce service at nonhub airports? And 
is this a pattern that you are seeing at other small community 
airports across the country?
    Ms. Malarkey Black. Mr. Bresnahan, thank you for the 
question.
    I am going to avoid commenting on the specifics of that 
because I am not very well aware of it. But I will talk 
generally. Having that infrastructure at small airports is 
critical. And ensuring that we bring--not just decommissioning 
but we actually bring modernization to airports of all sizes, 
it is very important. Small airports that have limited runway 
size, that impacts the kind of aircraft that you can attract to 
the airports. So we want to make sure that we are moving in the 
right direction and making investments in our small community 
airports.
    Mr. Bresnahan. Are you seeing any other airports that any 
of your membership companies operate out of that have seen 
disruptions because of inadequate upgrades to a specific 
facility?
    Ms. Malarkey Black. I will give you an example of a public-
private partnership that developed in response to exactly that 
kind of a disruption in Coeur d'Alene, which I believe just has 
cargo. And this specific airport needed to have a tower. And, 
for years, they petitioned to get the tower, and then they took 
matters into their own hands. And the airline and the community 
came together, and they actually constructed a tower. So the 
answer is yes, and there are some examples that show it.
    Mr. Bresnahan. I appreciate it. And I know we were all 
excited about the massive downpayment this committee has made 
in ATC modernization. Billions of dollars are currently being 
invested to, and we have seen real capacity and efficiency 
gains where these upgrades have been made.
    Mr. Dobberstein, from your perspective as an airport 
operator, are nonhub airports getting their fair share of those 
investments?
    Mr. Dobberstein. Thank you for the question, Congressman.
    I don't believe so. I think there is more that can be done 
for the nonhub and small-hub airports around the country to 
invest in that infrastructure, Fargo being one of them. We are 
coming up on an aging air traffic control facility in our 
community and are looking for ways to make improvements or 
replace that control tower, just as they are in Duluth, 
Minnesota, right now.
    Mr. Bresnahan. What does the modernization picture look 
like on the ground at smaller airports? And where do you see 
the biggest gaps? And what do you think Congress, and 
specifically this committee, could be doing a better job to 
help those small community airports?
    Mr. Dobberstein. In terms of technology, just making 
certain that the most up-to-date technology is available in 
terms of radar coverage; the equipment that is in the control 
towers that the controllers are working with is up to date and 
the most efficient that can be available for them; that the 
training for those controllers is efficient for the size 
airport that they are working and the airspace that they are 
responsible for.
    And, in terms of things on the ground, we are looking at 
VMAT as well, the transponders for our vehicles, for aircraft 
and our tower. We are working with suppliers right now on 
trying to implement that yet this summer so that we can become 
more safe as well. So anything to improve safety. This 
committee has done a lot of work to improve safety, both the 
House and the Senate, and we certainly appreciate that 
investment and look forward to more investment in those 
technologies that can improve safety, whether it is at the 
tower or on the ground, that protect my employees as well as 
those that are on the aircraft patronizing our airport.
    Mr. Bresnahan. Well, I appreciate the feedback. And, to all 
the witnesses, thank you for being here.
    With that, Mr. Chairman, I yield.
    Mr. Nehls. The gentleman yields.
    I now recognize Mr. Hurd.
    Mr. Hurd of Colorado. Thank you, Mr. Chairman.
    I want to circle back on something that my colleague from 
Nevada had mentioned about airport infrastructure financing. I 
represent Colorado's Third District. It is about half of the 
State's geographic footprint. It is quite large, and airports 
are a critical part not just for transportation, but also they 
are economic lifelines in western and southern Colorado.
    We have heard discussion about the $175 billion 
infrastructure gap at airports across the country in large 
cities as well as in communities like those that I represent. 
And I worked with my colleague Mr. Garamendi across the aisle 
on the Airport TIFIA Financing Certainty Act. I am pleased that 
that was a part of the Build America 250 Act that we passed out 
of this committee just a few weeks ago.
    Mr. Dobberstein, can you talk a little bit about rural 
airports taking advantage of financing tools such as TIFIA? How 
important is this to ensure that important projects go from 
ideas to reality?
    Mr. Dobberstein. Congressman, thank you for the question.
    First of all, thank you and the committee for including 
TIFIA in the highway bill. That is very important. I believe 
and AAA believes that the program needs to be extended. It is a 
critical tool for airports to have at their disposal as they 
look to finance important and critical infrastructure projects 
at their airport, to improve safety and capacity and enhance 
the experience for our traveling public. I also do believe that 
possibly more education needs to be provided to airports so 
that they understand the TIFIA program and what is available to 
them as this is a tool in their tool kit to finance important 
projects.
    Mr. Hurd of Colorado. All right. Not everyone is aware of 
it or aware of how it might be used.
    Mr. Dobberstein. Correct.
    Mr. Hurd of Colorado. Okay. Great. We can definitely do a 
better job in that regard.
    Mr. Pecoraro, next question for you. Workforce development 
and retention are one of the most critical issues in aviation, 
and rural communities like those that I represent feel that the 
hardest. Oftentimes, pilot workforce shortages are forcing 
communities to see reduced service as a result. They also have 
challenges keeping key staff beyond pilots. Air traffic 
controllers, specialists, TSA security specialists, aircraft 
maintenance is another issue, gate agents and so on. Having a 
strong workforce pipeline is key to ensuring that we have the 
strong supply of employees needed to support expanded 
opportunities for passenger service.
    I wanted to ask you specifically about a particular 
technology that is of interest to us in the West, which is--and 
it could be promising on the air traffic control front--which 
is remote towers, which allow air traffic control officials to 
remotely direct traffic to nontowered rural airports. In my 
mind, this allows for the extra layer of security and certainty 
that ATC provides, but also gives some flexibility to rural 
airports to meet their individual needs.
    How can Congress leverage innovative technologies like 
remote air traffic control to better serve small and rural 
airports like those in western and southern Colorado?
    Mr. Pecoraro. Thank you very much for that question, Mr. 
Hurd.
    We at NASAO think that those types of towers are a critical 
part of the future and are going to be very important to 
aviation safety going forward. As you know, Colorado is a 
leader in this area, and we were very disappointed when the 
earlier round of research into these towers didn't work out 
with the FAA. There was a great facility in Colorado where they 
were working on it, as well as one in Leesburg, Virginia. Both 
showed tremendous potential. We are glad that it is in the 
reauthorization bill that you all passed. We are glad that the 
FAA is moving forward again on relaunching that effort. And we 
think that there is a tremendous potential for creating safety 
at a lot of airports that can't afford a regular tower or a 
contract tower, that this can provide avenues for aviation 
safety and for people to understand what's happening on the 
ground at these airports.
    Mr. Hurd of Colorado. Amen, and agreed. We need to keep 
pushing. Thank you very much for that.
    Ms. Malarkey Black, as I mentioned earlier, airports are a 
gateway to jobs. They are an economic lifeline, healthcare, 
education, tourism, business opportunities, all those things. 
They are not only home to regional airline services but also 
business: aviation operators, air ambulances, agricultural 
aviation, flight schools, and other users as well. From your 
perspective, how does the loss of regional airline service 
affect the long-term viability of these smaller airports and 
their economic outlook?
    Ms. Malarkey Black. Thank you for the question.
    If you look at the headlines from when regional airlines 
had to park one-quarter of our fleet and capacity dropped out, 
it was ``Communities Are in Crisis,'' and you saw airport 
directors that were talking to the press, talking about what a 
calamity it was. This is not just an economic impact, but it is 
a real decisive change to the quality of life of the people who 
live there. So I think it is very harmful when there is a 
problem with the regional service and with the air service at 
the airport.
    Mr. Hurd of Colorado. Thank you very much for that. And, 
Mr. Chairman, I see my time has expired.
    Mr. Nehls. Yes, sir.
    Mr. Knott, you are recognized.
    Mr. Knott. Thank you so much, Mr. Chairman. It is great to 
be here. This is an important topic.
    I represent, sort of, the Triangle Region of North Carolina 
and east, which is a fertile ground for rural airports. And I 
have an interesting story. My grandfather, a number of years 
ago, actually came back from World War II and sent a request to 
Mr. Cessna about how to construct an airport. He had put 
together various parcels of land, and Mr. Cessna wrote him back 
with a ``how to'' manual. So my grandfather contracted all of 
the necessary components. He graded the airfield. And that 
airport is still in existence today in eastern Wake County, 
North Carolina. And it sort of hits on what I want to talk to 
you all about.
    There are obviously a lot of headwinds for the rural 
aviation industry. Cost is certainly a component, but it is not 
necessarily the cost of material and labor. It is the 
regulatory cost that comes with the delays, the permitting, the 
frivolous lawsuits. And it is a tragedy whenever a decades-old 
or even older airport will close because they cannot maintain 
compliance because of the bureaucratic overhangs or the 
regulatory cost imposed with that.
    So, Mr. Dobberstein, I want to talk to you first. What are 
ways that we in Congress can streamline and can make it more 
economical to maintain existence as a rural airport? I am 
talking about small rural airports.
    Mr. Dobberstein. Certainly efficiencies in the 
environmental process would be very beneficial. Working with 
our State agencies, the department of health in our State, our 
local engineers who are experts in those environmental 
concerns----
    Mr. Knott [interposing]. Right.
    Mr. Dobberstein [continuing]. We all want to be safe in the 
environment and everything that we do. But, certainly, trying 
to expedite the environmental reviews for these important 
infrastructure projects that we are trying to complete in our 
airport and other airports across the State and country would 
be vital for us.
    Mr. Knott. And, in regards to the--I would say, the 
challenges that you face currently to maintain your economic 
vitality, how would you order those in terms of the top three 
that Congress can help you with? What are the biggest 
challenges that you have?
    Mr. Dobberstein. Certainly funding is one, to have 
available funding. And, as I said before, that is a Federal, 
State, and local community partnership.
    Relief with those environmental regulations and policies 
that we are trying to fight through with the FAA and other 
Federal agencies would be of benefit.
    And then also just trying to provide the extra funds for 
safety improvements at our airports and airports across the 
country to make it safe not only for my employees that are out 
in the airfield, but for those that are arriving/departing on 
aircraft.
    Mr. Knott. And is the funding that you are talking about, 
is it primarily from Washington? Or are you talking about 
private funding as well?
    Mr. Dobberstein. It could be a combination of both, but 
certainly at the Federal level----
    Mr. Knott [interposing]. Yes.
    Mr. Dobberstein [continuing]. I think it most critical. And 
our State has been very generous at our airports in North 
Dakota. We are very fortunate in that regard in their 
investment through the legislature and Aeronautics Commission 
and also with the local community.
    Mr. Knott. Sure.
    Mr. Collins, I want to talk to you briefly. I see that your 
group has recommended an increase in the mandatory retirement 
age from 65 to 67. Do you know how that calculus was arrived 
at, to go up to 67 as opposed to, let's say, 70, 72?
    Mr. Collins. I am not aware of us making that 
recommendation.
    Mr. Knott. Are you aware of the statutory requirement----
    Mr. Collins [interrupting]. I am aware of the requirement--
--
    Mr. Knott [interrupting]. Yes. Let me ask you, then, this 
angle: What are your thoughts about that requirement?
    Mr. Collins. So, to this point, there hasn't been a safety 
assessment behind the requirement. So it might make sense to 
have an assessment to see if there are any safety effects of 
having the age range.
    Mr. Knott. Do you think that private businesses, States, or 
other bodies are incapable of determining who can be a safe 
operator of an airplane? I am not trying to be hostile. I am 
just curious. The 65 age requirement just seems entirely 
arbitrary to me. I know pilots who have been forced to retire 
that are perfectly able to continue their career, and it is 
something that, again--it is just a question at the top of my 
mind.
    Mr. Collins. Yes. I think it is worth researching whether 
or not it makes sense and if there are any safety 
considerations behind that.
    Mr. Knott. Okay. Mr. Pecoraro, do you have any thoughts 
about that?
    Mr. Pecoraro. No, sir. I am sorry. We don't have a position 
on that.
    Mr. Knott. Okay.
    In regards to the remote towers, I do want to continue that 
conversation. There are numerous airports in my district that 
are waiting for tower approvals and to get the FAA on board 
with expanding their footprint, and the tower piece is their 
last component. How can we expedite the use of these remote 
towers to the more up and coming airports?
    Mr. Pecoraro. I think lighting a fire under the FAA to move 
forward with these is the best way to do that. The technology 
is proven.
    Mr. Knott. Yes.
    Mr. Pecoraro. I saw it in Leesburg where it worked great. I 
know that they have got other contracts that are looking at 
working with right now, who are different from the ones who 
were doing it before. But the technology worked 6 years ago 
when I saw it. It can only have improved since then.
    Mr. Knott. The situation that I have is a county called 
Johnston County, and they have one of the busiest airports in 
the State. The only thing they need is increased tower 
functionality. And they have the funding----
    Mr. Pecoraro [interrupting]. For a fraction of the cost of 
a regular tower.
    Mr. Knott. Exactly. They just can't get the approval.
    Thank you so much. Mr. Chairman, I am over. I appreciate 
it.
    Mr. Nehls. All right. I now recognize Mr. Stanton.
    Mr. Stanton. Thank you very much, Mr. Chairman. Thank you 
to our witnesses for being here for this important hearing.
    For rural communities, reliable air service isn't a 
convenience. It is essential infrastructure in Arizona. Small 
airports support our robust tourism industry as well as 
connecting residents to healthcare, education, and the broader 
national economy. Take, for example, Flagstaff Pulliam Airport, 
the primary gateway for nearly half a million people in 
northern Arizona, a key gateway for visitors traveling to the 
Grand Canyon.
    Yet despite strong demand, Flagstaff ranks among the most 
expensive airports in the contiguous United States. Passengers 
face fewer flight options, higher fares. They can't just choose 
a different airport. The next closest commercial airport is 
more than 90 miles away, an hour and a half in a car.
    Flagstaff is seeking relief through the Small Community Air 
Service Development Program, applying for grants to expand 
connectivity to hubs like Denver and Salt Lake City.
    Mr. Pecoraro, are there specific changes to the Small 
Community Air Service Development Program that we should be 
considering to improve air service in these communities, 
particularly those like Flagstaff, which have challenges in 
generating local financial support to be competitive for 
Federal funding?
    Mr. Pecoraro. I don't have any specific recommendations 
today. What I would say, and as I said earlier, is that I think 
that what is critical is these programs have been in existence 
for a long time. Market conditions have changed. Economics have 
changed. Conditions on the ground have changed. What we need to 
do is for the U.S. DOT and FAA to sit down and develop a 
national strategy on how we are going to retool all of this, 
working with all the stakeholders, as they did recently with 
the National Strategy on Advanced Air Mobility, which is a 
terrific effort, and it is going to yield real results. And we 
think an approach like that would really help benefit these 
types of programs.
    Mr. Stanton. Thank you very much.
    Families in Arizona, as they plan their summer travel, 
unfortunately the war in Iran and the closure of the Strait of 
Hormuz has sent jet fuel prices through the roof, doubling 
since the conflict began. That is showing up in ticket prices 
for travelers in Metro Phoenix and everywhere. And, for many in 
rural communities, limited air service and fewer competitive 
options make those costs especially difficult to avoid.
    Ms. Malarkey Black, if higher fuel costs persist, do you 
anticipate airlines reducing service in certain markets and, if 
so, are smaller rural communities likely to feel those impacts 
more acutely than larger metropolitan areas?
    Ms. Malarkey Black. The economics of small community roots 
make them uniquely vulnerable to cost increases, whether it is 
labor or fuel, simply because of the math. We have got smaller 
aircraft and fewer passengers traveling. So, while we don't set 
the fares and we don't set the schedules, we would expect to 
see those kinds of consequences coming from our mainline 
partners.
    Mr. Stanton. Thank you very much. Those are all my 
questions. So I yield back, Mr. Chairman.
    Mr. Nehls. The gentleman yields. I now recognize Mr. 
Johnson.
    Mr. Johnson of Georgia. Thank you, Mr. Chairman and Ranking 
Member, for organizing this important hearing. And thank you to 
the witnesses for your time and your testimony today.
    In a lot of small communities, missing a flight doesn't 
just change travel plans. It changes what people can reach and 
what opportunities reach them. That is because when the nearest 
major airport is hours away, air service becomes part of the 
community's lifeline. And, right now, too many of these 
communities are watching that lifeline fray, not because they 
don't matter, but because the economics of aviation don't 
always treat them like they do.
    That is exactly why Congress stepped in with the bipartisan 
2024 FAA reauthorization law. We protected the Essential Air 
Service program, the Small Community Air Service Development 
Program, and Airport Improvement Program funding because safety 
and infrastructure shouldn't depend on the size of your tax 
base.
    But a program on paper doesn't mean much if people can't 
feel it in their daily lives. If flights keep disappearing, if 
prices keep rising, if workforce shortages keep pushing service 
away, then we still have work to do.
    My hope is today that we make sure these programs are doing 
what Congress intended: keeping small and rural communities 
connected to opportunity, not cut off from it. Whether you live 
in a rural community or in a growing suburb of Metro Atlanta, 
you deserve to be connected. People just want a fair shot, and 
that is what they deserve.
    And that is really what this comes down to, making sure 
that folks in smaller communities aren't treated like an 
afterthought. These programs exist because Congress made a 
commitment. And commitments must mean something. I am looking 
forward to hearing more from you all in response to my 
questions. I only have a limited amount of time, however.
    Mr. Pecoraro, I would characterize some goals of any small 
community as growing their demand, investing in their airport, 
and showing they can sustain reliable service. Most folks would 
look at that and say, ``That is success.'' But, in your 
testimony, you said some communities end up penalized for that 
success when market conditions shift against them.
    Mr. Pecoraro, can you further explain what it looks like 
when those market conditions turn, and does that kind of shift 
end up undoing the progress the communities work so hard to 
build?
    Mr. Pecoraro. It certainly can. A great example of that is 
what happened to a lot of communities during and after the 
pandemic, when conditions shifted. People worked from home. 
People traveled less. They weren't able to travel. Demand 
dropped significantly. Airlines shut down service. Pilot 
shortage was exacerbated. And we saw a lot of communities lose 
service.
    And, under the current rules of the EAS program, it is very 
difficult to get back in and use that program to rebuild 
successful service that you once had prior to the pandemic. So 
one of the things we are encouraging Congress to do is to look 
at some kind of a path for some of those communities to get 
back in and be able to rebuild that service.
    I also note along those lines that the Georgia DOT recently 
completed--it used a SCASDP grant very successfully. Focused on 
small community air service development to fund marketing, 
social media campaigns, advertising to try and build that type 
of service across a wide number of airports in Georgia. There 
was also increased community awareness of local airports, and 
we saw a measurable rise in ticketed passengers in each of the 
participating airports. So these programs do work when they are 
applied properly.
    Mr. Johnson of Georgia. Thank you.
    Ms. Black, you have made it clear in your testimony that 
what looks like low demand is often really the result of the 
system pulling back first with fewer departures, fewer 
destinations, and schedules that no longer work for people. Ms. 
Black, where should we begin to stop this pattern of the system 
pulling back first?
    Ms. Malarkey Black. I think we have to start with two 
things at once. First is the fleet. Making sure that we have 
the right-sized aircraft to serve smaller communities. And, 
equally important, the workforce. We need to have the people to 
operate the fleets, to connect these smaller communities to the 
hubs and through them and beyond.
    Mr. Johnson of Georgia. Thank you. I am surprised I have 
got time to yield back, but I shall do so. Thank you.
    Mr. Nehls. Very well, Hank.
    I now recognize Mr. McDowell.
    Mr. McDowell. Thank you, Chairman, and thank you to the 
witnesses for being here to testify before our subcommittee 
today.
    Mr. Pecoraro, what would you say are the top two or three 
challenges that threaten small community air service?
    Mr. Pecoraro. Pilot shortage, the aging out of regional 
aircraft that are appropriately sized for those communities, 
and the rising cost of travel.
    Mr. McDowell. So you would say that the Essential Air 
Service program is vital to rural air connectivity, correct?
    Mr. Pecoraro. Absolutely.
    Mr. McDowell. So, prior to the Airline Deregulation Act of 
1978, the U.S. Government managed the aviation industry, and 
the deregulation changed all that and introduced an aviation 
based on the free market. I guess my question for you is, why 
do you disagree with the criticisms of the EAS program?
    Mr. Pecoraro. I don't know that it's so much that I 
disagree with the criticism of the program. It's just that I 
think that the program, in the 40, almost 50 years since it was 
created, hasn't really been updated, and the airline industry 
has changed dramatically from what Congress thought it was 
going to be when it was deregulated. And I think that that is 
why we need to take a hard look at what the program is 
accomplishing right now and think about ways to reform it.
    I am not saying--I think support continues to be important. 
What that support looks like certainly can change. I think it's 
foolish to think that everything remains the same, and you 
don't need to change things and modify them. But I think that's 
where we are today, that we have allowed a certain complacency 
to exist when we haven't made those difficult changes.
    Mr. McDowell. Ms. Black, how did the airlines' struggle to 
find pilots impact regional aviation more than the rest of the 
industry?
    Ms. Malarkey Black. Regional airlines are the career entry 
point. That's normal. We hire the pilots that are coming from 
the pipeline. We were in an existing pilot shortage before the 
pandemic. And, after the pandemic, when demand sprang back so 
much faster than anybody anticipated, our major airline 
partners hired voraciously, and they find the best and 
brightest working for us.
    So, as a result, we parked about one-quarter of our fleet. 
We didn't have the pilots to fly them. More specifically, we 
didn't have the captains to fly them, because when a major 
airline hires, they take a captain, and then we can pull a 
first officer from the pipeline. Not only were there not enough 
first officers, but we obviously needed to have captains.
    So, as a result, one-quarter of the fleet was parked, and 
small communities went into crisis. I mean, the amount of air 
service that small communities lost was stunning and 
devastating.
    Mr. McDowell. To that point, how does the loss of air 
connectivity materially hurt rural areas and economies?
    Ms. Malarkey Black. Well, if you think about it from a 
business perspective, you need to be able to get in and out 
reasonably. I go and visit small communities as part of my job. 
I speak at small community air service associations in States 
with smaller service, and it takes a long time to get there.
    I go there because it's my job. But, if you are a 
recruiter, if you are somebody that's trying to get parts, if 
you are trying to see a sick loved one, you need to have 
schedules and departures and routes that meet your needs. And, 
when we lose the frequency and we lose the destination options, 
then suddenly that's not as workable.
    Mr. McDowell. So you argue that declining departures from 
regional airports can be an imperfect measure of consumer 
preference. Why is that?
    Ms. Malarkey Black. Specifically, the decline in seats. You 
can have an increase in seats, meaning you are actually able to 
carry more passengers, but departures and the destination 
options are shrinking because you are moving to bigger 
airplanes. They take more passengers at once. But they 
necessarily have to go to fewer places and less often because 
of the way they are doing it.
    Mr. McDowell. Mr. Collins, based on your work at the GAO, 
do you agree with the other witnesses' statements on the value 
of the Essential Air Service program?
    Mr. Collins. The Essential Air Service program does provide 
a valuable service in that it gives a floor of service to that 
community.
    Mr. McDowell. So yes.
    Mr. Collins. Correct.
    Mr. McDowell. All right. Mr. Chairman, I yield back.
    Mr. Nehls. The gentleman yields.
    I thank you so much. Any further questions from any members 
of the subcommittee who have not been recognized? I don't see 
any.
    Listen. I appreciate you all being here. This will conclude 
our hearing today. I thought you all did a hell of a job. Great 
job.
    All right. We will get my dentist friend out of Jersey--all 
right. Do you need 30 seconds to prepare, Mr. Van Drew? Are you 
set? He is set.
    Mr. Van Drew, you are recognized.
    Dr. Van Drew. Chairman, I am sorry. I was running around in 
between committees, and I apologize to all of you, but I am 
glad I made it. Thank you, Mr. Chairman, for recognizing me.
    As we discuss the future of our rural and small community 
air service, I wanted to highlight a provision in the Build 
America 250 Act that will provide a real boost to regional 
airports and rural airports. I was happy to work with 
Representatives Rob Bresnahan and Chris Deluzio on the 
Motorcoach Enplanement Pilot Program. You might be familiar 
with it. It ensures passengers who begin their trip on an 
airline-operated motorcoach connection count as enplanements 
for an airport funding purposes. For example, in my airport, 
Atlantic City International, if you get on a bus there and you 
go to Philadelphia Airport, that counts for Atlantic City, 
especially with critical funding.
    For many small regional airports, passenger boarding 
numbers are critical. They help determine eligibility for 
Federal funding and support the infrastructure investments 
needed to maintain service. For airports facing service 
reductions or airline withdrawals, which we just went through 
recently, as you saw with Spirit Airlines--we have got good 
news, though. We just met with Breeze, and they are going to 
fill in the gaps. Motorcoach enplanements will help preserve 
access to the national aviation system. In my district, 
Atlantic City International Airport has faced significant 
challenges following the closure and reduction of service 
associated, as I mentioned, with Spirit.
    Airports across the country are experiencing similar 
pressures as airlines consolidate service and focus operations 
on larger hubs. The Motorcoach Enplanement Pilot Program will 
help ensure that smaller communities remain connected, which is 
so important. And you saw Pete just speak about that a little 
while ago, and it is important for him--Pete Stauber--it is 
important for all of us that are in the regional areas, smaller 
areas, rural areas, for economic opportunity, for healthcare, 
for education, for tourism, and the broader transportation 
network, as you all know. And I thank you for your work.
    Ms. Black, thank you for being here today. Regional 
airlines continue to face pilot supply constraints and rising 
operating costs. To what extent are those pressures still 
driving service reductions at smaller airports, like all of 
ours, and what policy changes would be most effective to 
restoring service to underserved communities? Thank you.
    Ms. Malarkey Black. Thank you for the question.
    Right now, what we are seeing is that we are seeing a 
slight increase in departures nationwide. But it's mixed. And 
you can--it just shows that you can have good national numbers 
while the individual communities like Lansing and many, many 
others are still far, far behind. So it's not so much a 
question of if we are still cutting. We have moved up from the 
nadir of the pilot shortage in 2023, and we are starting to 
rebuild. But that recovery has not reached communities 
everywhere, and we still have a long way to go before it does.
    Our nonhubs and our nonprimary airports that serve the 
smallest rural communities are still down by an enormous 
amount. We have a lot of work to do to make sure that the pilot 
pipeline can catch up and the fleet is there so we can continue 
to reconnect those communities.
    Dr. Van Drew. Yes. It is a big issue. We are going to fight 
with you shoulder to shoulder to do everything----
    Ms. Malarkey Black [interposing]. Thank you.
    Dr. Van Drew [continuing]. We can to connect these 
communities, because it's a big deal. And it is a big chunk of 
America. Not everybody lives in Philly, New York City--I know I 
don't have to go through--or Atlanta.
    Mr. Dobberstein, thank you for being here today as well. 
How will programs that better integrate airports with air 
carrier-operated ground transportation help smaller airports 
retain relevance and maintain passenger volumes?
    Mr. Dobberstein. It is critically important. We were the 
recipient of Landline service from Fargo to Minneapolis-St. 
Paul, which is about a 4-hour bus ride. It was extremely 
successful, but then Landline took our bus and moved it to 
Philadelphia for other opportunities there, I think, through 
American Airlines. But it worked extremely well for us. The 
traveling public embraced it. But I think the ground 
transportation is an opportunity for other rural communities to 
connect to the national air transportation system.
    Dr. Van Drew. I think it is, too. I think it really can 
help, and it makes a difference and is relatively convenient. 
It is still easier--again, I will just give my own parochial 
example. If you have to go to Philly Airport--I would much 
rather go out of Atlantic City--but if you have to, certainly, 
you just jump on the bus. Everything is prepared, baggage 
check, all that, and you go to Philly and you are done. But it 
is a much quicker and easier way to do it. And that is 
throughout the country for these smaller airports.
    Mr. Collins, last question. GAO has documented passenger 
leakage from smaller airports to larger hubs. In your view, 
have motorcoach enplanements shown promise in helping smaller 
communities compete and retain travelers? I know you know the 
answer. I know the answer, but I want to hear it.
    Mr. Collins. That is a definite yes. In our work, 
stakeholders have told us that bus service is a great 
opportunity to make sure that rural communities are connected 
to the NAS. It may not fit every rural community, but it is an 
option for many.
    Dr. Van Drew. Thank you. And, to the great chairman, who I 
am going to miss a lot when he leaves us in the House of 
Representatives, I yield back.
    Mr. Nehls. Thank you.
    Dr. Van Drew. Thank you, Chairman. We appreciate you.
    Mr. Nehls. Thank you, sir.
    I now recognize Mr. Shreve. Good to see you.
    Dr. Van Drew. Mr. Shreve should be happy that I showed up, 
or he would have been done for.
    Mr. Nehls. That's correct.
    Mr. Shreve. Well, I thank you. Thank you, Chairman.
    And Ranking Member Carson and I are fellow Hoosiers. I 
represent a part of Indianapolis that the airport, IND, is 
located in. Mr. Carson has a portion of it, too. I think I have 
got the better portion of IND, it includes the FedEx air cargo 
operations. The second largest FedEx air hub in the world.
    And Indiana is the home of Republic Airways. It is 
headquartered there in the metro. And, of course, folks here, 
but some of my colleagues may not know that Administrator Bryan 
was the very recent former CEO of Republic Airways, and so he 
brings that subject matter expertise in the regional feeder 
system to the table at both large airports, and, of course, 
midsize and smaller ones that are so important to the passenger 
infrastructure that we have got in this country.
    I appreciate the opportunity to parachute back in. This is 
my third time in the room, and I appreciate our four witnesses' 
testimony and what you shared with all of us today. I don't 
want to retrace ground that may well have been covered by my 
colleagues, but maybe tie it off, if I could, with just a 
couple of closing questions for consideration that any of the 
four of you might have.
    If we stay the course from a funding standpoint, if we do 
nothing different over the next few years, what is Essential 
Air Service into many of the smaller communities that folks 
like I represent in Indiana--and I have dozens of public access 
airport communities, like Mr. Stauber passionately spoke to--if 
we stay the course, funding level and otherwise, what does the 
future look like from your four perspectives, your agency 
perspectives, in particular, Ms. Black or Mr. Pecoraro?
    Ms. Malarkey Black. Thank you for the question. I think our 
environment is not static, and our response to the environment 
can't be either. And, whether that's air traffic control 
modernization, bringing that to all airports of all sizes, 
including the digital situational awareness tools they need; 
the workforce. You mentioned Republic, they have got Lyft, that 
is an incredible investment that the private sector is making 
in the future of our workforce. But making sure that more 
people from working class backgrounds can afford it through 
accessible student loans that cover the full cost of flight 
training, making sure that we encourage manufacturing of the 
fleet that serve these smaller communities, that is a big one; 
and, making sure when we bring safety to airports of all sizes, 
that we do it in a way that works with the fleet so that we can 
comply, and we can continue to preserve those airports.
    Mr. Pecoraro. If we do nothing but leave the funding at the 
current levels, which is much appreciated, of course, I think 
that you will see communities continue to see a decline in 
service, because we won't be attacking the fundamental problems 
that they face right now. So that is why we are here to urge 
Congress to encourage the U.S. DOT and the FAA to develop a 
strategy that can do a better job of providing access to the 
national system.
    Mr. Shreve. Is the migration away from the smaller regional 
jets, the 135s, 145s, primarily a function of insufficient 
numbers of pilots, that more than anything else?
    Ms. Malarkey Black. Let me make sure I understand your 
question. Are you saying the migration away from 135 airports--
or, excuse me, 135 airlines at airports service?
    Mr. Shreve. Yes. Ms. Black, I think, in your earlier 
testimony, you noted that there were fewer 50-seat passenger 
jets in service. And I am not sure if that was from you. But is 
that a function of not enough trained crews? And so, where you 
have got pilots, you need to put them behind the stick or the 
oak of larger regional jets. Is that what is driving that? At 
Purdue Airport, they just landed, flagged as United Service, 
and they are operating those 50-seat aircraft. So they are 
still out there, but there are fewer and fewer of them.
    Ms. Malarkey Black. There are fewer. It is a math question. 
When you have a limited supply of pilots, the network carriers 
try to serve as many passengers at once, and that typically 
means deploying larger aircraft, whether that is larger 
regionals or, in some cases, mainline. But, of course, not all 
communities can support a 76-seat jet, let alone a narrow-body 
jet. So we still need that 50-seat fleet.
    Unfortunately, that is the exact gap right now. We have got 
some scope clause constraints that are labor union contracts 
with the major airlines that actually limit the manufacturing 
of new regional jets because they limit what kind of jets we 
can deploy, including the weight. So it's a complicated issue 
for us. But, yes, those are some of the many constraints that 
are facing the 50-seat market.
    And I will say, with respect to part 135 carriers, they do 
have pilot issues because they are a source of great experience 
for pilots to come in, but they attrit very quickly to larger 
regionals, and then move on through the system.
    Mr. Shreve. I appreciate that. My time has expired. But I 
just want to clarify: I was referring to the Embraer 135, not 
the part 135, with respect to smaller aircraft.
    I appreciate the witnesses' testimony, and, Mr. Chairman, I 
appreciate the indulgence with the time. Thank you, everyone.
    Mr. Nehls. Yes, sir. The gentleman yields. Are there any 
further questions from the members of the subcommittee?
    Seeing none, this concludes our hearing today. Again, I 
want to thank each and every one of you for being here. This 
subcommittee stands adjourned.
    [Whereupon, at 12:34 p.m., the subcommittee was adjourned.]

                       Submissions for the Record

                              ----------                              

     Letter of June 4, 2026, to Members of the House Committee on 
Transportation and Infrastructure, Subcommittee on Aviation, from Molly 
Grover, President and Chief Executive Officer, Dubuque Area Chamber of 
Commerce, Dubuque, Iowa, Submitted for the Record by Hon. Troy E. Nehls
                                                      June 4, 2026.
The Honorable Members of the Aviation Subcommittee

Re: Challenges Facing Rural Commercial Air Service

    Dear Chair and Members of the Subcommittee:
    On behalf of the Dubuque Area Chamber of Commerce and working with 
partners Dubuque Air (a public/private partnership representing the 
City of Dubuque, Iowa, Dubuque Regional Airport, Dubuque County, 
Greater Dubuque Development Corporation, Travel Dubuque, the Chamber 
and the Dubuque Racing Association), we appreciate the opportunity to 
provide comments regarding the challenges facing rural commercial air 
service and the importance of maintaining reliable air transportation 
connections for small and mid-sized communities across the United 
States.
    Commercial air service is an essential component of the economic 
vitality, competitiveness, and quality of life of rural America. For 
communities such as Dubuque, dependable air service connects residents 
to business opportunities, tourism, healthcare, education, and family 
networks. It also enables local employers to recruit and retain talent 
and provides critical access to national and international markets.
    Like many rural airports, Dubuque Regional Airport has experienced 
significant challenges in recent years. Industry-wide pilot shortages, 
workforce constraints, regional fleet changes, shifting airline network 
strategies, and most critically, exponentially rising operating costs 
that have reduced service options and increased uncertainty for rural 
communities. These challenges have disproportionately affected smaller 
markets that rely on regional air service to connect with larger hub 
airports.
    The consequences extend beyond inconvenience. Limited air service 
can hinder economic development efforts, discourage business 
investment, and reduce a community's ability to compete in an 
increasingly connected economy. Companies evaluating expansion 
opportunities routinely consider transportation accessibility when 
making location decisions. Reliable air service is therefore not simply 
a transportation issue--it is an economic development imperative.
    We respectfully urge Congress and federal aviation policymakers to 
consider several priorities:

    1.  Recognize the Economic Impact of Rural Airports and Need for 
Alternate Support to Establish Sustainable Air Service. Federal 
transportation policy should acknowledge the significant role rural 
airports play in supporting regional economies, tourism, manufacturing, 
healthcare access, and workforce mobility. Investment in air service is 
recognized at every community level from rural to major metropolitan 
areas, and should be recognized as the same at a federal level--an 
investment rather than a subsidy that will deliver direct economic 
returns.

    2.  Encourage Airline Service Options and Competition. Policies 
that foster sustainable regional airline operations and strengthen 
connections between rural communities and hub airports will help 
preserve access for travelers and businesses alike.

       Currently, EAS supported airports are creating an untenable 
playing field for non-supported rural airports. EAS funding skews the 
advantage for airline resources to those supported communities and 
helps set the cost baseline at an unreachable and unsustainable level 
for the self-funded. The rising costs of air service operations 
combined with the above create an unsustainable business model for non-
supported communities.

    3.  Strengthen Federal Support for Rural Air Service. Programs that 
support connectivity for small communities remain essential. Continued 
investment and modernization of federal programs that help sustain 
rural air service provide greater stability for communities facing 
limited airline options.

       As the costs and investment required to build sustainable air 
service have risen sharply, we encourage the exploration of additional 
support mechanisms to help the rural communities caught in between full 
federal subsidy and complete self-funding. The current skewed 
competitive playing field and unsustainable business model outlined 
above are prohibiting the successful establishment of service in many 
communities. A scaling of the SCASD program by 10x, or a new program 
recently proposed using international travel fees, could help create 
this added or new level of support to build lasting air service for 
these economic regions.

    Dubuque and communities like ours are resilient, innovative, and 
growing. However, our continued success depends on reliable access to 
the national transportation system. Rural airports serve as critical 
gateways that connect local economies to broader opportunities. Federal 
policies that strengthen rural air service will help ensure that 
residents and businesses in communities of all sizes can participate 
fully in the nation's economic future.
    Thank you for your leadership on this important issue and for your 
consideration of the challenges facing rural commercial air service. We 
welcome the opportunity to work with Congress, the Federal Aviation 
Administration, and industry partners to develop solutions that 
preserve and enhance air connectivity for rural America.
            Sincerely,
                                              Molly Grover,
               President and CEO, Dubuque Area Chamber of Commerce.

                                 
  Letter and Attachment of June 9, 2026, from Jack Waldorf, Executive 
   Director, Western Governors' Association, to Hon. Troy E. Nehls, 
   Chairman, and Hon. Andre Carson, Ranking Member, Subcommittee on 
        Aviation, Submitted for the Record by Hon. Troy E. Nehls
                                                      June 9, 2026.
The Honorable Troy Nehls,
Chairman,
Subcommittee on Aviation, Committee on Transportation and 
        Infrastructure, House of Representatives, 2251 Rayburn House 
        Office Building, Washington, DC 20515.
The Honorable Andre Carson,
Ranking Member,
Subcommittee on Aviation, Committee on Transportation and 
        Infrastructure, House of Representatives, 2164 Rayburn House 
        Office Building, Washington, DC 20515.
    Dear Chairman Nehls and Ranking Member Carson:
    In light of the Subcommittee's June 4 hearing, ``Connecting Rural 
America to the National Airspace System,'' attached please find Western 
Governors' Association Policy Resolution 2024-06, Transportation 
Infrastructure in the Western United States.
    Reliable air service is essential infrastructure for many remote 
communities. Western Governors support legislative actions to secure 
and maintain the longevity of the Essential Air Service and Small 
Community Air Service Development Programs.
    I request that you include this document in the permanent record of 
the hearing, as it articulates Western Governors' collective and 
bipartisan policy recommendations on this important issue.
    Thank you for your consideration of this request. Please contact me 
if you have any questions or require further information.
            Sincerely,
                                              Jack Waldorf,
                Executive Director, Western Governors' Association.

Attachment
                               __________

                                                         Attachment
                     Western Governors' Association
                       Policy Resolution 2024-06
       Transportation Infrastructure in the Western United States
A. BACKGROUND
    Jobs, the economy, and quality of life in the West depend on high-
quality transportation infrastructure that efficiently, effectively, 
and safely moves goods and people. Western states' national highways, 
ports, and railways are essential gateways for our nation's exports 
while small and medium airports serve as economic engines and essential 
connections for rural western communities.
    The infrastructure in the region is under strain from both 
increased movement of goods and people and from underinvestment in 
preservation, repair, and new infrastructure. Additionally, increasing 
fuel efficiency coupled with a commensurate decrease in gas tax revenue 
has led to a decrease in the Highway Trust Fund (HTF). Electric 
vehicles are simultaneously increasing throughout the West, spurring 
new investments in transportation charging, grid enhancement, and other 
infrastructure.
B. GOVERNORS' POLICY STATEMENT
    1.  Western Governors believe there is a strong federal role, in 
partnership with states and local governments, for continued investment 
in our surface transportation network. This is particularly important 
for federal routes and for multimodal transportation networks that are 
critical to interstate commerce and a growing economy throughout the 
West. These routes and networks traverse hundreds of miles without 
traffic densities sufficient to either make public-private partnerships 
feasible or allow state and local governments to raise capital beyond 
the historic cost share. Many western states also feature vast expanses 
of federal lands, which cannot be directly taxed to generate dollars 
for transportation improvements.

    2.  Western Governors believe the current project decision-making 
role of state and local governments, with meaningful participation from 
affected communities, particularly tribes and other historically 
underserved communities, in investment decisions should continue. 
Western Governors desire additional flexibility to determine how and 
where to deploy investment to maximize the use of scarce resources.

    3.  Western Governors believe that a viable, long-term funding 
mechanism is critical to the maintenance and upgrade of our surface 
transportation network and encourage Congress to work together to 
identify a workable solution that adequately funds the unique needs of 
the West.

    4.  Western Governors believe in enhancing the ability to leverage 
scarce resources by supplementing traditional base funding by creating 
and enhancing financing mechanisms and tools that are appropriate for 
all areas of the United States, including those with low traffic 
densities where tolling and public-private partnerships are not 
feasible. Western Governors urge agencies to consider strategies to 
streamline and clarify Notices of Funding Opportunity (NOFO) to reduce 
confusion for small communities. Western Governors also support 
reducing barriers to application, specifically for small communities.

    5.  Western Governors believe using the historic formula-based 
approach for the distribution of funds would ensure that both rural and 
urban states participate in any infrastructure initiative, and it would 
deliver the benefits of an infrastructure initiative to the public 
promptly. Alongside supporting robust block grant funding, Western 
Governors urge Congress and the United States Department of 
Transportation (USDOT) to consider additional ways to provide flexible 
funding for states to allow them to quickly address their most pressing 
needs.

    6.  Western Governors believe the Highway Trust Fund (HTF) and the 
programs it supports are critically important to the success of efforts 
to maintain and improve America's surface transportation 
infrastructure. Currently, the HTF is not able to support federal 
surface transportation program levels and will not meet the future 
needs of the growing country. Congress must be prepared to address 
these deficiencies and identify new, non-traditional transportation 
revenue streams that can provide consistent and increasing funding 
levels for the core transportation infrastructure that keeps this 
nation on the move. Congress must provide a long-term solution to 
ensure HTF solvency and provide for increased, sustainable federal 
transportation investment through the HTF. Western Governors urge 
Congress and USDOT to identify and dedicate diverse revenue sources to 
fund the HTF.

    7.  Western Governors believe modern port infrastructure, including 
inland ports, is essential to strong national and western economies and 
urge Congress to fully fund the Harbor Maintenance Trust Fund and to 
reform the Harbor Maintenance Tax distribution to ensure western ports 
remain competitive.

    8.  Furthermore, Western Governors believe the federal government 
must work collaboratively with states, along with ports, local 
governments, and key private sector transportation providers like the 
railroads, to ensure the necessary public and private investments to 
move imports and exports efficiently through the intermodal system, as 
well as community organizers and the Environmental Protection Agency's 
National Environmental Justice Advisory Council, to effectively 
mitigate environmental and public health impacts to port communities.

    9.  As new sources of transportation investment revenues are 
considered, Congress is encouraged to limit narrowly defined 
discretionary programs in favor of providing flexibility for states to 
direct federal resources to meet their unique needs.

    10.  Western Governors recognize the benefit of and appreciate the 
renewed focus on incorporating American-made products into 
transportation projects. However, the availability of American-made 
materials and manufactured goods continues to lag behind demand that 
has resulted. Western Governors urge Congress and the USDOT to maintain 
a robust process for the thoughtful consideration of Buy America 
waivers until the resurgence of American production is fully complete.

    11.  Western Governors have made great strides in the last 20 years 
in improving air and water quality as well as preserving resources. In 
the case of environmental regulatory issues, the need to exercise care 
in protecting the environment is inherent in all public works, and 
accountability is held by the citizenry. Congress is encouraged to 
consider how best to streamline the deployment of transportation 
improvements while accounting for environmental impacts.

    12.  Efficient and streamlined permitting processes are essential 
to ensuring robust transportation systems. Refer to WGA policy 
regarding the Governors' collective policy on permitting, including 
Policy Resolution 2023-10, Infrastructure Permitting.

    13.  Western Governors support a flexible federal transportation 
program that affords the opportunity to invest in urban and rural 
transportation needs including safety, congestion relief, mobility 
options, connectivity, and new or innovative transportation solutions 
including passenger rail.

    14.  Western Governors emphasize western states' collaborative 
efforts to improve the planning and siting of electric vehicle (EV) 
charging infrastructure to promote equitable access, particularly along 
highway corridors, freight corridors and hubs, rural areas, underserved 
communities, or anywhere that users do not have the ability to charge 
at home. We encourage Congress and the Administration to rely on the 
on-the-ground knowledge of the states when designing federal programs 
and allocating surface transportation and infrastructure funds focused 
on EV infrastructure. Coordinating with these multi-state groups would 
help promote targeted investments and partnerships that expand 
cohesive, regional EV charging networks.

    15.  Reliable air service is essential infrastructure for many 
remote communities. Air service is critical not only for recreation and 
tourism, but also for many remote communities, it provides the only 
efficient way to bring in critical personnel, such as doctors or 
emergency services. Western Governors encourage the executive branch to 
include full funding for the Essential Air Service (EAS) and Small 
Community Air Service Development Program (SCASDP) programs in the 
President's annual budget request. Western Governors also support 
legislative actions to secure and maintain the longevity of these 
programs.
C. GOVERNORS' MANAGEMENT DIRECTIVE
    1.  The Governors direct WGA staff to work with Congressional 
committees of jurisdiction, the Executive Branch, and other entities, 
where appropriate, to achieve the objectives of this resolution.

    2.  Furthermore, the Governors direct WGA staff to consult with the 
Staff Advisory Council regarding its efforts to realize the objectives 
of this resolution and to keep the Governors apprised of its progress 
in this regard.

This resolution will expire in June 2027. Western Governors enact new 
policy resolutions and amend existing resolutions on a semiannual 
basis. Please consult http://www.westgov.org/resolutions for the most 
current copy of a resolution and a list of all current WGA policy 
resolutions.

                                Appendix

                              ----------                              


Post-Hearing Questions for the Record to Faye Malarkey Black, President 
 and Chief Executive Officer, Regional Airline Association, from Hon. 
                             Sharice Davids

    Question 1. Ms. Black, we have seen numerous proposed presidential 
budgets that either significantly reduce funding for EAS or flat out 
scrap the program. Can you walk us through how reducing funding or 
eliminating the entire EAS program could negatively impact not just 
rural communities but suburban and exurban communities, as well?
    Answer. When a community loses its EAS service, the air traffic it 
used to send into the network is also reduced. This impacts its 
surroundings in multiple ways. First, the loss disconnects communities 
directly. Loss of air service can sharply curtail residents' ability to 
travel to medical specialists, universities, military installations, 
customers, suppliers, and family members, and businesses lose the 
ability to recruit talent and stay connected to markets. These effects 
extend into the surrounding suburban and exurban economies.
    In Kansas, regional airlines provide roughly 75 percent of the 
state's scheduled departures, and five Kansas communities depend on 
EAS--Dodge City, Garden City, Hays, Liberal, and Salina. Without 
regional airlines, these communities would almost certainly lose their 
connection to the national air service network. Essential Air Service 
flights feed passengers into the medium and large hubs that suburban 
and exurban travelers use every day.
    The loss of these EAS passengers also weakens the hubs that they 
once connected through. For example, in 2024, four of Kansas' five EAS 
routes connected through Denver International Airport (DEN), which is a 
significant hub for EAS routes across the Western United States, at 
which regional airlines operate more than 20 percent of the total 
departures. EAS service in one state supports connectivity locally, as 
well as elsewhere in the state or even in other states.

 Figure 1. RAA 2025 Annual Report Air Service Snapshot of Colorado and 
                                 Kansas
[GRAPHIC(S) NOT AVAILABLE IN TIFF FORMAT]

    There is also a safety cost. When air service disappears, many 
passengers travel by road instead. NHTSA recorded 39,254 fatalities in 
2024, and communities along the rural community-to-airport driving 
route are exposed to elevated risk, as rural roads carry a fatality 
rate 1.5 times higher than urban roads.
    Additionally, Essential Air Service is a powerful force multiplier, 
with a return on investment far exceeding program costs. Before the 
pandemic, commercial service at EAS airports alone generated 
approximately $2.3 billion in economic impact and more than 17,000 
jobs. Small community air service overall generated $152.8 billion in 
annual economic impact, $41.3 billion in payroll, and 1.1 million jobs 
nationwide. In Kansas, small community air service in 2019 generated 
$1.3 billion in economic impact, $300 million in payroll, and 10,400 
jobs.\1\
---------------------------------------------------------------------------
    \1\ Zoe Lindemuth, Deborah Meehan, William Swelbar, and Albert 
Zhong, Economic Impact of Small Community Airports (Regional Airline 
Association, 2021).
---------------------------------------------------------------------------
    During the 2025 shutdown, EAS subsidies were funded only weeks at a 
time. While our members reassured communities of their continued 
commitment despite possible funding lapses, funding uncertainty can 
affect passenger confidence in the routes and undermine markets. We're 
grateful Congress has consistently protected EAS, and we're encouraged 
the House FY27 THUD bill continues that commitment. We urge lawmakers 
to avoid future shutdowns that can harm the program.

    Question 2. What are RAA's policy recommendations to help 
communities attract air service?
    Answer:
Fix the pilot pipeline
    The single most important thing Congress can do to help communities 
attract air service is to rebuild the pilot pipeline. A community can 
do everything right and still fail to attract air service if there are 
not enough pilots to fly the routes. More than 40% of the qualified 
pilot workforce faces mandatory retirement within fifteen years, and 
major-airline hiring will resume as aircraft deliveries catch up. The 
specific steps to strengthen the pilot pipeline are in my answer to 
Question 4.
Support the tools communities use to compete
    In the cases where a regional airline decides where it flies, a 
strong community partnership behind the route usually supports success. 
Local leaders, airports, and elected officials work with carriers, 
sometimes backing routes with revenue guarantees or incentive funds 
while the market matures.
    The Small Community Air Service Development Program (SCASDP) helps 
communities build these packages. The FAA Reauthorization Act of 2024 
raised authorized SCASDP funding to $15 million a year and directed the 
Department of Transportation (DOT) to prioritize communities that have 
lost service. Congress should consider whether additional funding, 
longer grant terms, or stronger transition tools would help communities 
sustain service after a grant period ends.
    Additionally, certain airports in Wyoming and New Mexico use 
successful public-private models to share the risk of launching or 
rebuilding service. Congress should consider if similar models might 
help support other states, keeping in mind that not every community has 
the same resources to pay into these models.
Protect Essential Air Service
    For the smallest communities, EAS is what makes service possible at 
all. Full funding is a precondition for those communities to hold the 
service they have and to attract carriers willing to serve them.
Encourage production of modern, right-sized fleet
    Meanwhile, as expenses rise for all airlines, they carry a 
disproportionate impact on aircraft with fewer seats to absorb them, 
which makes small-community flying harder to sustain.
    The regional jets and other aircraft that serve small communities 
are aging, and the industry has limited options to replace them with 
more efficient and sustainable modern aircraft. Scope clause limits 
have discouraged investment in modern regional aircraft.
    Congress does not write private labor contracts, but it can examine 
the public impact when those limits shape which aircraft are available 
to serve small communities. The communities have no seat at that table, 
but they feel the result when the aircraft they need are not built or 
deployed. Without aircraft scaled to smaller markets, service 
concentrates at larger airports and the smallest communities lose 
service. We believe examining the constraints that discourage 
investment in new right-sized aircraft with enhanced efficiency is part 
of keeping small-community routes viable.
Enhance safety and modernize ATC tools at smaller airports
    Safety should also reach airports of all sizes: situational-
awareness tools for contract towers, stronger communications, and 
required position communication on the Common Traffic Advisory 
Frequency (CTAF) at non-towered airports. RAA supports H.R. 8597.
    While making these enhancements, Congress should ensure required 
integration is designed for all fleet types, and does not inadvertently 
exclude the only aircraft serving smaller communities. Regional 
airlines strongly support improved collision-avoidance safety. We 
believe ACAS-X is the strongest long-term solution. Timelines for in-
panel installation should reflect the certification, integration, 
installation, and supply-chain work each fleet requires, much of which 
is outside carrier control, but that should not stop Congress from 
requiring improvements far more rapidly. We recommend an interim bridge 
to deploy Electronic Flight Bag (EFB) based ADS-B In and improve safety 
on a rapid timeline.

    Question 3. Can you walk the Committee through your perception of 
the current state of the workforce in regional aviation--from 
technicians to pilots to attendants, where are we doing well and where 
do you perceive challenges?
    Answer:
Pilots
    As of June 2026, 128,733 pilots held an Airline Transport Pilot, 
Airplane Multi-Engine Land (ATP AMEL) certificate with a valid first-
class medical. These are the pilots qualified to fly, and they are 
aging. Within five years, 13 percent of those qualified pilots will 
face mandatory retirement. Within fifteen years, 40.7 percent must 
retire.
    The pilot supply pipeline has improved compared to the height of 
the pandemic-era shortage, which drove thirteen regional airline 
bankruptcies or liquidations and forced airlines to park more than a 
quarter of the industry's fleet without pilots. Last year, attrition 
temporarily slowed in response to delayed aircraft deliveries and a 
related, temporary pause in major airline hiring. The underlying 
problem has not been solved.
    New ATP AMEL issuances fell 19 percent in 2025 compared with 2024 
and fell 32 percent vs the peak we saw in 2023. The pipeline is ticking 
up modestly in 2026, projected to produce roughly 8,169 new pilots 
(using a 12-month rolling average). New certificates also do not 
translate into new available pilots. Roughly two out of every three do 
not become net growth in the qualified pilot pool.
    Meanwhile, the pipeline, while improved, cannot sustain a return to 
normal hiring. The largest major airlines alone hired an average of 
8,668 pilots per year since 2022, a span that includes post-pandemic 
hiring surges as well as the recent suppressed hiring era due to 
aircraft delivery delays. Charted against 2026's production pace of 
roughly 8,169, normal-era pilot hiring already exceeds current 
production, before any growth or service recovery is accounted for.
    Before the liquidation of Spirit Airlines and fuel price surges, 
major airline hiring was exceeding new pilot production each month. On 
May 2, 2026, Spirit Airlines liquidated, releasing more than 2,000 
qualified pilots into the pool. Even so, the largest major airlines 
have now hired a number equivalent to 79 percent of this year's newly 
qualified pilots. Our biggest workforce challenge is that the pilot 
pipeline is not keeping up with retirements, let alone the additional 
pilots needed to meet airline growth and customer demand. Airlines must 
also hire more pilots compared with before, to staff larger reserve 
pools for reliability. Intensive hiring years also require pilots to 
devote more pilot time to training duties than in the past.
    One thing our nation is doing well is reflected in the growth of 
structured training pathways. In the first half of 2026, 34.2 percent 
of original ATP AMEL issuances carried restricted privileges, meaning 
roughly one in three new ATP pilots now comes through a Restricted Air 
Transport Pilot (R-ATP) pathway. These are the pilots who use 
structured training combined with flight hours to achieve their first 
officer qualifications. That share has grown from near zero when the 
pathway was created in 2013 and has held steady in recent years. The 
Pilot Source Studies found that pilots who come through structured, 
accredited training programs perform better in airline training than 
those who accumulate hours through less structured routes, and that 
matches what our members see. We can increase the pilots using these 
training pathways by addressing the financial, geographic, and access 
barriers that continue to limit who can reach them.
Maintenance technicians
    The maintenance technician shortage is an increasing threat to air 
service. Industry forecasts project a North American shortfall of more 
than 24,000 technicians, peaking around 2027. Maintenance is the 
foundation of safety--no aircraft flies until a technician has found it 
airworthy. This is another area where shortages will hit the regional 
airlines first, as we are generally the career entry point for 
maintenance technicians, and not only do we lose technicians to 
attrition by larger airlines but also due to competition from well-
resourced industries outside aviation.
    This challenge continues to need Congress's attention, and our full 
recommendations are outlined in my response to Question 4.
Additional workforce
    While other sectors have been comparatively stable, we do see pain 
points. For example, while the flight attendant pipeline remains strong 
for most carriers, some have reported increased attrition and highlight 
concerns that while many interested candidates present to flight 
attendant recruiters, a much smaller subset complete the steps for 
successful onboarding. Regional airlines compete for talent with larger 
airlines with larger aircraft and longer routes, with vastly higher 
revenue to support higher pay. Regionals are investing to narrow this 
gap within the realities of smaller aircraft and dramatically lower 
revenues. Regionals are also reinforcing a positive airline culture, 
communicating with candidates, and refining recruiting processes to 
increase successful recruiting to onboarding throughput. Pilots and 
technicians are our focus for Congress because the challenges 
associated with these workforce sectors present high air service risk.

    Question 4. To that end, what are the most important steps in your 
estimation Congress can take to address workforce shortages in the 
airline industry?
    Answer. The steps below strengthen the pilot pipeline and the 
maintenance workforce.
Pilots
      Open the career path by expanding financial access. Pilot 
training adds roughly $100,000 on top of the cost of a college 
education, and unlike students headed into medicine or law, students in 
accredited professional pilot programs cannot access adequate federal 
lending. That barrier keeps qualified people out of the profession for 
reasons that have nothing to do with ability. Congress should raise the 
federal student loan cap for accredited flight training, paired with 
accountability standards for program quality. One way of doing this is 
by recognizing eligible professional pilot programs as professional 
degree programs, better reflecting the cost of the education, training, 
and licensure required for hire. The Wings Act, introduced yesterday by 
Representative Joyce Beatty (D-Ohio), would do just this and RAA 
strongly supports this legislation.

      Expand GI Bill coverage for flight training. Today a 
veteran must already hold a private pilot license before GI Bill 
benefits apply to flight training, and coverage gaps leave high out-of-
pocket costs that stop veterans from using benefits they earned through 
service. Congress should amend the GI Bill to cover the private pilot 
license and all elements of flight training and should reject efforts 
to cap veterans' benefits for this purpose.

      Retake U.S. leadership on pilot retirement age. The 
mandatory pilot retirement age was raised to 65 in 2007, with no 
negative safety impact. Other key aviation nations are leading on this 
issue at ICAO, and the United States, as one of ICAO's largest members, 
should be a leader on this work. Congress should direct DOT and FAA 
leadership to press the issue at ICAO. Raising the age will not solve 
the shortage alone, but would help preserve experienced aviators while 
allowing the training pipeline more time to catch up.

      Oversee FAA's Implementation of the Enhanced 
Qualifications Program (EQP). This is first and foremost a safety 
measure. Section 372 of the FAA Reauthorization Act of 2024 directs the 
FAA to establish an EQP with scenario-based training, a structured 
curriculum, and modern simulator technology. The EQP gives pilots more 
structured, scenario-based, crew-oriented training while reducing the 
gap between completion of structured training and airline hiring, where 
skills can soften. The program must be rigorous and standardized, and 
the FAA should implement it with urgency and consistency. Congress 
should also ensure that pilots receive structured training credit on 
successful completion, consistent with existing R-ATP pathways.
Maintenance workforce
      Sustain and build on the FAA Reauthorization Act of 2024. 
That law quadrupled the aviation maintenance workforce development 
grant program and directed the FAA to maintain modern Airman 
Certification Standards through industry collaboration. That foundation 
needs to be maintained and finished before the shortage peaks around 
2027.

      Build on the FAA Reauthorization Act of 2024's 
maintenance workforce development grant program through sustained 
funding. Support the creation of more Designated Mechanic Examiners 
(DMEs)--expanded access to mechanic certification testing will ensure 
that qualified candidates are not held back by testing bottlenecks.

      Help veterans transition into civilian maintenance 
careers, where their skills are badly needed, by encouraging the FAA to 
finish the military competency test pathway required in the FAA 
Reauthorization Act of 2024.

      We urge recognition of aviation maintenance as a STEM 
career pathway, so young people find it earlier.

    Taken together, the above steps address the two workforces that 
face the biggest structural challenge--pilots and technicians--by 
building quality and access into the pipeline rather than lowering the 
bar. In an industry where safety comes first, that is the right way to 
solve a workforce problem.

Post-Hearing Questions for the Record to Faye Malarkey Black, President 
 and Chief Executive Officer, Regional Airline Association, from Hon. 
                              Greg Stanton

    Question 1. In your assessment, what happens to a community's 
economic development prospects when reliable air service is reduced or 
eliminated?
    Answer. Regional air service is a substantial driver of local and 
national economic activity. Prior to the pandemic, across hundreds of 
communities nationwide, air service to the smallest communities (small, 
non-hub and nonprimary airports with commercial service) alone drove 
more than $152 billion in annual economic output, 1.1 million jobs, and 
$41.3 billion in wages and earnings. In Arizona, that air service 
generated $4.2 billion in economic impact, $1.2 billion in payroll, and 
34,100 jobs.\1\ When reliable air service is reduced or eliminated, a 
community loses practical access to medical specialists, universities, 
military installations, customers, suppliers, and family members, and 
local businesses lose the ability to recruit talent and stay connected 
to markets.
---------------------------------------------------------------------------
    \1\ Zoe Lindemuth, Deborah Meehan, William Swelbar, and Albert 
Zhong, Economic Impact of Small Community Airports (Regional Airline 
Association, 2021).
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    Passengers respond to the network available to them, so reduced 
frequency and eliminated destinations change travel behavior; some 
trips are never taken, and other travelers with the time and means to 
do so drive to more distant airports instead. Both outcomes represent 
lost economic activity for the local community, even when it is 
sometimes mistaken for a simple lack of demand. Additionally, a 
community can lose connectivity even if it still retains air service. 
Flagstaff is a useful illustration. The airport lost its Denver service 
at the peak of the pilot shortage in 2022, even though its flights had 
respectable load factors. The community continues to have air service, 
but the connectivity has been reduced by fewer destination options and 
less frequency.
    Given the substantial fixed costs airlines must absorb to start or 
restore service in a smaller market, that lost connectivity is often 
more difficult and expensive to recover than it would have been to 
preserve in the first place, meaning the economic damage from lost air 
service can compound and persist well beyond the initial service 
reduction.
    The effects also reach beyond the community itself. Arizona's EAS 
communities connect to the national network through Phoenix Sky Harbor, 
where regional airlines operate roughly 20 percent of departures. 
Service in one part of the state supports the health of hubs in another 
part of the state.

    Question 2. Given that the regional aircraft fleet is aging, what 
is the long-term outlook for maintaining adequate service to smaller 
markets?
    Answer. The long-term outlook is concerning, largely because of 
scope clause policy. Scope clause caps are provisions in major airline 
pilot-union contracts, which cap regional aircraft at 50, 70, or 76 
seats with an 86,000-pound takeoff weight limit. For years, regional 
airlines and their major airline partners have operated within a 
constrained aircraft environment driven by these limitations.
    Today's most advanced, fuel-efficient jet engines burn cleaner but 
are heavier, and that added weight causes modern regional jets to 
exceed the weight limits of every major airline scope clause. This has 
effectively frozen regional fleets at older propulsion technology and 
deterred manufacturers from developing next-generation regional 
aircraft. Saab, Bombardier, British Aerospace, Beech, Fairchild-
Dornier, and most recently Mitsubishi have all stopped investing in new 
regional aircraft, and each has cited scope clause limitations as the 
primary reason. The result is a structural gap in the regional fleet at 
exactly the aircraft size many small communities need.
    Congress does not write private labor contracts, but it can examine 
the public impact when those limits shape which aircraft are available 
to serve small communities. The communities have no seat at that table, 
but they feel the result when the aircraft they need are not built or 
deployed.
    Larger, 76-seat aircraft are not a universal substitute. Scope 
limitations restrict how many can be operated, and runway constraints, 
airport infrastructure, market size, and operating economics make them 
unsuitable for some communities, which lose air service altogether 
rather than receive larger aircraft. Emerging aircraft technologies may 
help in the future, but communities facing air service challenges today 
need aircraft that are available, certifiable, and economically viable 
now.

    Question 3. What are the specific factors that make smaller 
community air service economically challenging to sustain under the 
current model?
    Answer:
Pilot supply:
    The constrained pilot pipeline is the largest pressure on small-
community service. A community can do everything right and still lose 
service. During the worst stages of the pilot shortage, nearly every 
major and regional airline CEO discussed, in published reports and in 
regulated quarterly earnings calls, how deep air service losses to 
otherwise profitable smaller communities were the direct result of the 
pilot shortage. Without enough pilots to fly every route, aircraft that 
can be crewed are deployed on routes where they can carry more 
passengers at once. This consolidates capacity in larger markets and 
leaves the thinnest routes most exposed, because they do not have 
sufficient passengers to support air service by larger aircraft. When 
airlines attempt to deploy oversized aircraft to thin markets, loss of 
frequency and destination options can further erode passenger use as 
discussed above. This vicious cycle damages the underlying economics of 
the route and puts it at even higher risk.
Cost distribution:
    Smaller aircraft have fewer seats over which to distribute 
operating costs, making lower-density routes inherently more sensitive 
to changes in labor, maintenance, airport, financing, fuel, and 
infrastructure costs on a per-passenger basis.
Pilot compensation:
    The pilot shortage led airlines to substantially increase pilot 
compensation to attract qualified aviators in an extraordinarily 
competitive labor market. These investments helped attract candidates 
but also materially increased the cost of operating smaller aircraft on 
lower-density routes.
Fuel price exposure:
    While major airline partners typically purchase fuel under Capacity 
Purchase Agreements, prices still influence broader network economics; 
carriers operating under pro-rate arrangements, where the regional 
airline retains ticket revenue and bears more direct cost exposure, 
face even greater volatility risk.
Startup and transition costs:
    Starting or restoring service after a disruption requires building 
local operations, securing facilities and ground equipment, 
establishing fuel and handling arrangements, staffing the station, 
supporting marketing and community awareness, and integrating the 
service into the broader network. These costs can be substantial, 
particularly in rural markets served by one or only a few carriers and 
must be recovered over a relatively small passenger base.
Aircraft availability:
    Scope clause limits on aircraft size and, especially, weight have 
narrowed the range of aircraft that manufacturers are willing to build 
for the regional segment, particularly smaller aircraft that are the 
best fit for small communities.
Community economics:
    During the hearing, you used Flagstaff as an example of a community 
that struggles to generate the local financial support to compete for 
Small Community Air Service Development Program (SCASDP) grants, and 
that is a reality.
    In my written statement, I explained that some very small 
communities, including those in Wyoming and New Mexico, use public-
private models that share the risk of launching or rebuilding service. 
While there are other ways to partner with carriers than doing so 
financially, the reality is that airports that can keep their own costs 
down, and communities that can help set revenue guarantees or otherwise 
contribute tend to attract more air service because they help to 
instill market certainty. Under SCASDP, US Department of Transportation 
prioritizes those programs.
    At the same time, not every community can partner in the same way. 
This is a reality that our organization has discussed for decades, 
including in our opposition to a local share requirement for the EAS 
program. We believe a community that can't raise local funds shouldn't 
be shut out of the chance to compete for federal help for that reason 
alone.
    Congress might examine SCASDP to see if there is a way to give some 
relief to communities that genuinely can't pay in, so that a 
community's need for air service, and perhaps its creativity in counts 
alongside what it can contribute. Beyond that, we'd recommend 
strengthening SCASDP with adequate funding, longer grant terms, and 
better tools to help communities hold onto service after the grant 
period ends.

  Post-Hearing Questions for the Record to Shawn Dobberstein, A.A.E., 
Executive Director, Hector International Airport, Fargo, North Dakota, 
on behalf of the American Association of Airport Executives, from Hon. 
                              Greg Stanton

    Question 1. In your assessment, what happens to a community's 
economic development prospects when reliable air service is reduced or 
eliminated?
    Answer. Reliable air service is one of the key pieces of economic 
infrastructure that allows small and rural communities to compete. When 
that service is reduced or eliminated, the effects go beyond passenger 
inconvenience. It becomes harder for communities to attract and retain 
employers, support tourism, connect local businesses to customers and 
suppliers, recruit professionals, and provide residents with access to 
other economic centers. Communities without reliable air service can 
become less competitive for investment because businesses often look 
for dependable connectivity when deciding where to locate or expand. 
Reduced service can also create a downward spiral: fewer flights and 
poorer schedules push travelers to drive to larger airports, that 
passenger leakage weakens the local market, and airlines then have even 
less incentive to maintain service.

    Question 2. Given that the regional aircraft fleet is aging, what 
is the long-term outlook for maintaining adequate service to smaller 
markets?
    Answer. The long-term outlook for air service to smaller markets is 
impacted by the shrinking regional aircraft fleet. Many smaller 
communities historically depended on smaller regional aircraft that 
could support multiple daily frequencies with right-sized capacity. As 
those aircraft age and are retired, airlines are increasingly shifting 
to larger, more efficient aircraft. While that may make sense from an 
airline cost perspective, it can leave smaller markets with fewer 
frequencies, less convenient schedules, or no viable service at all 
because those markets may not be able to consistently fill larger 
aircraft. Long term, service to smaller communities will likely require 
new aircraft types and business models that can economically connect 
smaller communities, as well as continued investment in aviation 
workforce programs, and support for tools like EAS and SCASDP.

    Question 3. What are the specific factors that make smaller 
community air service economically challenging to sustain under the 
current model?
    Answer. Smaller community air service is challenging because the 
economics are thin and the risks are high. These markets often have 
lower passenger volumes, fewer daily flights, and limited ability to 
absorb disruptions. Airlines are facing higher operating costs, 
including fuel, labor, maintenance, and aircraft costs, while also 
managing pilot, mechanic, ground workforce, and air traffic control 
staffing constraints. At the same time, the reduction of smaller 
regional aircraft and the shift to larger aircraft can reduce frequency 
or make service uneconomic in markets that cannot support larger 
planes. Smaller communities also face passenger leakage when travelers 
drive to larger airports for lower fares, more nonstop options, or 
better schedules. Capacity constraints at major connecting hubs can 
make the problem worse, because smaller markets may be the first to 
lose service when airlines have to make choices about how to use scarce 
aircraft, crews, and slots. That is why AAAE believes Congress should 
fully fund EAS, expand SCASDP, extend infrastructure investments, 
support the Contract Tower Program, continue aviation workforce 
development, and modernize the air traffic control system.

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