Tailwind Air LLC, a subsidiary of Tailwind Air Service (Farmingdale), withdrew its application for commuter air carrier authority and will not launch its proposed seaplane scheduled services between New York Skyports Seaplane Base and East Hampton Airport.

The airline said in a US Department of Transportation (DOT) filing that the objections raised earlier by the town of East Hampton "have caused Tailwind to re-evaluate its commitment to serving HTO as a commuter air carrier during its first year of proposed operations".

The airline applied for the commuter air carrier authority on February 1, 2019, planning to operate six weekly seaplane services between New York and East Hampton on a seasonal basis, starting in summer 2019.

Responding to the application, the town of East Hampton, which funds the airport, expressed concerns about the airline's financial standing.

"A cursory review of Tailwind’s application shows that Tailwind does not have a reasonable understanding of the costs of starting its operations. It further shows that Tailwind does not have the necessary capital to commence its contemplated operations. For the reasons set forth below, Tailwind has failed to demonstrate that it is fit, willing, and able to operate a commuter air service," the town officials wrote.

Tailwind Air currently operates as an air taxi operator with Part 298 and Part 135 certifications. It flies predominantly seasonally between New York Skyports SPB and destinations on Long Island, including East Hampton, Montauk, Shelter Island, and Sag Harbor.