SALISBURY, MD - A memo released by the Trump Administration Monday to temporarily pause all federal grants and loan disbursements left the progress of some local projects on Delmarva uncertain, including new flights from the Salisbury Airport.
In October 2024, the Salisbury Airport announced an $800,000 grant from the Department of Transportation to help ensure revenue, cover start-up costs, and aid in creating a marketing plan to entice a low-cost airline to begin flights to and from Salisbury to Orlando. Airport officials said in October talks with a low-cost airline had been productive and that flights to Orlando could start as soon as January 2025.
With little over three days left in the month and the Trump Administration’s latest order attempting to place federal funding on ice, however, plans for January flights to Florida from the Eastern Shore have become cloudy.
On January 28, the White House said all federal grants and loans would be paused pending review. Grants that have been awarded and not spent were included in the halt, according to the Associated Press. The funding freeze was set to go into effect at 5 p.m. on Tuesday, though a federal judge issued a temporary stop on the order until February 3.
Bill Chambers, Executive Director with the Salisbury Chamber of Commerce, hoped the moratorium on federal spending and the delays in applying the awarded funds at the Salisbury Airport would not deter a new airline from taking up residence in Wicomico County.
"If this new carrier gets cold feet based on possible delays in implementation to this federal grant, they're going to pull, potentially pull their service, look at another opportunity in another part of the United States," Chambers told WBOC Tuesday.
Chambers said low-cost airlines already operate on slim margins, so a loss of monetary incentive could be detrimental to the Airport’s plans to expand.
"The local community and the regional community has stepped up with pledges to support this federal grant, so let's hope the Trump Administration doesn't snatch defeat from the jaws of victory and pull something that grows our economy here on the lower shore," he said.
Wicomico County Executive Julie Giordano told WBOC she remained assured the grant would stay in place as financial motivation for a new airline.
"We are confident that the grant for the new airline at Salisbury Regional Airport remains secure, even with the change in presidential administration,” Giordano said Tuesday. “This project aligns perfectly with the federal priorities of economic growth and regional connectivity. The positive economic impact for our community will be tremendous, creating jobs and strengthening our local economy for years to come."
Other local grants could possibly see a delay with the President’s order if it is reinstated next week.
Just hours before President Trump’s memo was first released on Monday, Maryland Senators Chris Van Hollen and Angela Alsobrooks announced new funding through the Department of Transportation’s Airport Infrastructure Grant program for improvements at Salisbury Regional, Easton, and Cambridge-Dorchester Regional airports.
Also in Salisbury, the Wicomico County Civic Center recently announced the start of improvements and renovations partially funded through $5.5 million in federal grants.
The Delaware Association for the Education of Young Children on Tuesday warned of the impacts a pause in funding could have on various programs such as Head Start, The Child and Adult Care Food Program, and the Special Supplemental Nutrition Program for Women, Infants, and Children (SNAP/WIC).
In her first White House press briefing Tuesday, Press Secretary Karoline Leavitt insisted the federal freeze was not aimed at sweeping cuts but instead allowed time to review the policies behind them.
“This is not a blanket pause on federal assistance and grant programs from the Trump administration,” Leavitt said before saying programs could submit their appeals to retain funding to the Trump Administration.
“If they feel that programs are necessary and in line with the president’s agenda, then the Office of Management and Budget will review those policies,” Leavitt said.