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JetBlue’s new flights may cost Vero Beach Airport key state funding

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JetBlue’s new flights may cost Vero Beach Airport key state funding
Policy
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Joanna Geraghty, chief executive officer | JetBlue

Vero Beach Regional Airport officials have expressed concern after JetBlue Airways announced new service to the Florida airport, citing federal law that allows airlines to operate at any U.S. airport without local approval. The move is expected to increase passenger numbers at Vero Beach, potentially affecting the airport's eligibility for state funding.

Historically, Vero Beach Regional Airport was not classified as a commercial facility and received up to 80% matching grants from the Florida Department of Transportation (FDOT). This arrangement was based on the airport serving fewer than 10,000 passengers annually. When Breeze Airways began operating flights from Vero Beach, passenger numbers surpassed this threshold. In response, the city mayor successfully appealed for an increase in the grant cap, allowing continued eligibility for higher grants as long as annual passengers remained under 100,000.

The introduction of JetBlue's service could push annual passenger traffic above this limit. If that happens, FDOT support would drop from 80% to 50%, reducing financial assistance available to the airport.

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JetBlue plans to launch daily flights between New York John F. Kennedy Airport and Vero Beach starting December 11 using Airbus A320 aircraft. Flights will depart JFK at 10:35 each day and arrive in Vero Beach at 13:37; return flights are scheduled for departure at 14:35 with arrival in New York at 17:11. Additionally, JetBlue will begin service between Boston Logan International Airport and Vero Beach on December 11 using Airbus A220-300 aircraft.

Federal regulations stemming from the Airline Deregulation Act of 1978 allow airlines like JetBlue and Breeze Airways to choose their destinations independently of local or state input. This act removed federal control over airline routes and fares and enabled greater competition among carriers by letting them select where they want to fly.

The director of Vero Beach Regional Airport told TCPalm that the airport was "blindsided" by JetBlue's announcement because it did not actively seek new airline partners; rather, JetBlue decided unilaterally to begin operations there under existing federal law.

While increased air service may benefit travelers by offering more options and connections through major hubs such as New York JFK and Boston Logan International Airport, it also means that Vero Beach Regional Airport could lose some financial advantages previously provided by state subsidies if its annual passenger count exceeds current limits.

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