Contact: Ernest Blazar 202-224-7627 Shana Stribling 224-0309
Wednesday, June 26, 2002

WASHINGTON - Senator Kit Bond today announced a grant of $500,000 to Cape Girardeau, as part of a new program to help smaller U.S. communities enhance their airline service.

“This money will help Cape Girardeau improve its air service,” Bond said.

Cape Girardeau will use the funds to increase air service to St. Louis and to encourage increased ridership. Cape Girardeau will provide $125,000 in local funds for the project in addition to the federal funding.

The U.S. Department of Transportation is providing a total of $20 million in grants to 40 communities across the nation to help them address their local air service problems, such as high fares and insufficient levels of service. In soliciting grant proposals, the U.S. Department of Transportation (DOT) invited communities to develop their own innovative solutions and seek federal financial assistance for their projects. Eligible projects included subsidies and financial incentives to air carriers, studies and marketing programs. The department received 179 proposals from 47 states, seeking a total of $142.5 million.

The Small Community Air Service Development Pilot Program, authorized by the Aviation Investment and Reform Act for the 21st Century, enacted in April 2000, allowed the department to award grants to up to 40 communities, no more than four of which could be from the same state.

In considering Cape Girardeau’s grant proposal, DOT gave priority to those communities that:

have high airfares compared to other communities;

contribute financially to the project from sources other than airport revenues;

have established or will establish a public/private partnership to improve their air service; and submitted proposals that will benefit a broad segment of the public by providing greater access to the national transportation system.