- Associated Press - Wednesday, September 30, 2015

BILLINGS, Mont. (AP) - The federal government has approved Cape Air for another contract to provide Essential Air Service flights in Montana.

The Massachusetts-based airline has offered flights to Billings from Glasgow, Glendive, Havre, Wolf Point and Sidney since 2013, and has been awarded a new subsidized contract by the U.S. Department of Transportation. The new contract begins in 2016 and ends Dec. 31, 2019.

The Essential Air Service program subsidizes flights to rural cities that would not otherwise get commercial air service.

The current federal subsidy for Cape Air’s Montana flights is $11.9 million. That subsidy will increase in 2016 to $12.5 million and continue to increase to $13.3 million in 2019.

Cape Air flights on its nine small planes cost $52 each way, which includes all taxes and fees.


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