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50 HELICOPTER AIR SERVICE PROGRAM As you know, we are subsidizing 13 local service carriers that serve some 600 airports with fixed-wing aircraft all over the country to the extent of $69 million a year. We need a concentrated attack on this urban and interurban transportation problem, and the air contribution to it has only scratched. Senator LAUSCHE. Does your office have the statistics showing the trunk airlines and feeding lines that have been subsidized? Or is that with the other agency? Mr. HALABY. That is with the Civil Aeronautics Board. I am sure they will provide it. It is a matter of record. Senator LAUSCHE. If there are representatives of the CAB here, we ought to be supplied with the tabulation showing the subsidies paid in the last 10 years, and the lines to which they have been paid. (The following information was received from the Civil Aeronautics Board:) EXHIBIT 7 SUBSIDY FOR UNITED STATES CERTIFICATED AIR CARRIERS (Civil Aeronautics Board, Bureau of Economic Regulation, Subsidy Division, September 1964) PURPOSE OF REPORT This report is the 13th in the Board's annual series identifying the subsidy for U.S. certificated air carriers awarded pursuant to section 406 of the Federal Aviation Act of 1958 (and the predecessor Civil Aeronautics Act of 1938). Under that section the Board is under a directive to administer subsidy so as to "maintain and continue the development of air transportation to the extent and of the character and quality required for the commerce of the United States, the postal service, and the national defense." This report contains revisions of the prior estimates issued in January 1963, for the fiscal years of 1954-1964, as well as estimates for the fiscal year 1965. The basic purposes of this series of reports are to identify (1) the dollar amounts of subsidy for the air services rendered to the public; (2) the objectives which are achieved through subsidy payments; and (3) the standard by which such payments are determined. ESTIMATED SUBSIDY The total subsidy estimated to accrue for air carrier services for fiscal 1965 is $84,203,000 and is comprised of the amounts shown in the table below: [[two columned table]] | Carrier group: | Subsidy, fiscal 1965 | | Alaskan | $9,524,000 | | Hawaiian | 995,000 | | Helicopter | 3,358,000 | | International | ----- | | Local Service | 67,000,000 | | Trunkline | 3,326,000 | | Total | 84,203,000 | SUMMARY BY CARRIER GROUPS Provision for payment of subsidy by the Board to air carrier is made in section 406 of the act, which vests the Board with the responsibility for making subsidy payments to U.S mail certificated air carrier in such amount as are found necessary to further the threefold national interest embracing the commerce, postal service, and the national defense. Subsidy for various air carrier has materially assisted in achieving national policy objectives set out by the Congress. In times of war a reservoir of trained pilots, airline personnel; and modern aircraft is assured. As a result of having been strengthened through subsidy support the industry is ready at any time to provide such personnel and
