[1] In short, it allowed the Postmaster General to contract private companies to carry mail.
[2] The Act was sponsored by Pennsylvania representative Clyde Kelly, and became legislation in February that year.
[3] The act created a bidding period for small airmail routes, setting rates and subsidies contractors would receive for flying mail.
[1] Due to the surplus aircraft available after the First World War, particularly de Havilland DH-4s, the act bolstered a nascent aviation industry in the United States.
[5] Further regulation ensued quite rapidly, such as those issued by second assistant postmaster general Col. Paul Henderson, which required pilots and their aircraft to receive a certificate of airworthiness from the Post Office, and that each company needed to post at least ten thousand dollars in good faith bonds.