As part of the US government's efforts to ensure the continued business of major players in the country's aerospace sector, Congress has approved the release of nearly $10 billion to support US airports. On Tuesday, the US Transportation Department awarded the amount to major US airports, which are currently struggling to keep afloat amid the slumping travel demand caused by the ongoing coronavirus pandemic.
Congress had originally approved the financial aid package late last month as part of a wider package for the country's entire transportation infrastructure. The proposed package had included a budget of $25 million to be allocated to the country's public transit system and around $1 billion to be given to the National Railroad Passenger Corporation (Amtrak).
The $10 billion budget for the country's airports will be distributed to major operators with values depending on their scale and operations. The highest amount, around $377 million, will be given to Chicago's two major airports. The second-largest amount, $338 million, will be allocated to the Hartsfield-Jackson Atlanta International Airport.
Other major airports that will receive support are those in Los Angeles with $323 million, Dallas-Fort Worth with $299 million, New York's two major airports will receive $295 million, San Francisco with $255 million, Miami with $206 million, Newark with $147 million, Washington-Dulles with $143 million, and finally Detroit with $142 million.
US Transportation Secretary Elaine Chao mentioned in a statement the $10 billion in emergency resources should help major airports continue operations amid the health and economic crisis. With the funds, the airports can hopefully save their employees' jobs and ensure they have finances to cover costs for at least a few more weeks.
The transportation agency revealed that airports can use the allocated funds to pay for operating expenses, payrolls, utilities, debts, and even for capital expenditures. With airlines now cutting flights at unprecedented rates, US airports are now essentially hemorrhaging cash, with some being forced to furlough employees and even partially halt operations.
US airports had warned that the industry could stand to lose more than $13.9 billion this year as travel demand has dropped by more than 95 percent. The US is currently heaviest hit by the pandemic, with more than 600,000 confirmed cases and over 26,000 now dead.
The Airports Council International of North America stated on Tuesday that the grant should help airports offset portions of the losses they have incurred over the past few months. Without government assistance, most wouldn't be able to survive the coming weeks given the dire situation.
