CPA: We did apply for EAS
Contrary to what the Commonwealth Ports Authority transition team stated in its report, CPA did try to avail of multiple federal grants, including the Essential Air Service program that would have subsidized interisland travel in the CNMI. Unfortunately, CPA did not qualify.
Responding to the CPA transition team’s criticism that the agency is in “crisis” because of its alleged lack of prospects in averting a fiscal downturn by the end of this fiscal year, the CPA management now says that CPA did avail itself of multiple grants.
One of the grants the transition team recommended in its report was the U.S. Department of Transportation’s Essential Air Service program, but CPA stated it did pursue the EAS program, but was found unqualified.
“CPA does not qualify for the EAS program because it is not an ‘eligible place.’ To be considered an ‘eligible place,’ the community must have received essential air service between Sept. 30, 2010, and Sept. 30, 2011. The CNMI did not receive essential air service between those two dates,” said CPA.
In addition, CPA explained that for the CNMI to be eligible to participate in the EAS program, the U.S. Congress would need to amend 49 U.S. Code section 41731 and include the CNMI as an accepted location.
“CPA has discussed EAS and its challenges with multiple CNMI officials, including Delegate Gregorio Kilili Camacho Sablan (D-MP). It is CPA’s understanding that there is currently no appetite in [the] U.S. Congress to expand the EAS program,” said CPA.
According to online sources, EAS is a federal program enacted to guarantee that small communities in the United States maintain commercial air service. The program’s goal is to maintain a minimal level of scheduled air service to small communities that otherwise would not be profitable.
In a previous Saipan Tribune article, Bruce Jorgensen, the CPA transition team member who was tasked with looking into CPA’s federal and regulatory compliance, said the CPA is in a “crisis” for multiple reasons, the most worrisome of which is CPA’s alleged lack of funding prospects to avert a fiscal downturn.
In addition, Jorgensen claims that CPA also faces a crisis due to management issues and alleged prospective sanctions by the Federal Aviation Administration.