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Index to recent news postings Rail Travel News is a twice-monthly print publication, published since
Dec 10, 1970.
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HOUSE TO VOTE ON AMTRAK BILL THIS
WEEK
On Wednesday, June 29 a vote may be taken on the House floor on the committee-passed bill described in the article below. That bill would allow Amtrak only $550 million, which would result in the rail system's complete shutdown, although those who voted for the bill deny it. Today and Tuesday, rail advocates should be calling their Congresspersons and instructing them to vote for an amendment that will be presented on the floor to increase the level of Amtrak funding in the bill. NARP also urged that Congresspersons be told that if the level
of funding is not increased, that they should vote "no" on the bill.
AFTERMATH OF HOUSE COMMITTEE VOTE ON AMTRAK FUNDING (NARP issued June 22 the following statement concerning the previous day's anti-Amtrak vote by a House committee:) The House Appropriations Committee voted yesterday to ratify its transportation/treasury subcommittee's decision to kill U.S. intercity passenger rail. "This would deprive Americans of an increasingly important travel choice," said NARP Executive Director Ross B. Capon. "Amtrak ridership rose in seven of the last eight years, while Amtrak stabilized operating costs the past three years under President and CEO David L. Gunn. Ridership growth did not come from fare cuts, since Amtrak's yield-average revenue per passenger-mile-also rose (nine of the last ten years), contrary to recent experience of most airlines." Knowledgeable observers agree that $550 million is far below the minimum needed to run any trains. Although Amtrak has taken on no new debt since 2002, an estimated $278 million is needed next year just to service old debt. Gunn has said a Northeast Corridor-only system would require about $1.2 billion. Amtrak Chairman David Laney and DOT Inspector General Ken Mead both testified that dropping all long-distance trains would save only $300 million a year, and that only after several years of severance payments. Even level funding-$1.2 billion-would leave Amtrak unable to install long-lead-time capital items already purchased. Due to the pressing needs of Amtrak's capital program, Amtrak-which ended Fiscal 2004 with over $200 million in cash-has been spending at a $1.4 billion rate. The Bush-appointed Amtrak board of directors requested a FY06 federal grant of $1.8 billion to continue movement towards a "state of good repair." DOT Inspector General Ken Mead testified that $1.4-1.5 billion-plus state funding continuing at present levels-is needed just to maintain the status quo. Nonetheless, House Subcommittee Chairman Joseph Knollenberg (R-MI) claimed that $550 million (55% below current federal funding) would let most short-distance routes continue, saying, "The subcommittee's Amtrak proposal is an honest one and deserves the committee's support." The committee rejected three Amtrak-related amendments:
The same bill that kills intercity passenger rail would:
Olver expressed concern about the impact of funding levels in the highway bill on other programs, like Amtrak. For FAA Operations, general funds would contribute $3.2 billion-more than 30% of the total-as Rep. Martin Olav Sabo (D-MN) noted. That is up from $2.8 billion this year. The six legacy airlines lost $7.6 billion (not including government support) in 2004, in effect a subsidy from shareholders. Airports and the air traffic control system do not disappear when an airline goes under, but an Amtrak bankruptcy would trigger loss of an entire mode of transportation. Although the bill would force a systemwide Amtrak shutdown, and would raise costs of providing commuter rail in many markets, the bill identifies 18 routes for which federal funding could not be used: the long-distance trains plus Chicago-Detroit-Pontiac, Chicago-Indianapolis and New York-Charlotte. Report language claims these trains lose over $30 a passenger. "Given the skeletal nature of Amtrak's route network, we believe any
route ranking should be used to see what lessons from best performers could
guide improvement of weaker ones. But, no matter how many trains Amtrak
eliminates (and two significant ones were dropped in the past eight months),
critics will call for more cuts. Thus we are hesitant to say anything about
route ranking," said NARP Executive Director Ross B. Capon. "But the committee's
$30-dollar-a-passenger 'sledgehammer' approach cries out for clarification
that an economically sound ranking would reflect
Capon said, "We remain optimistic that this process, which still has
a long way to go, yet can save passenger rail, but each new step that doesn't
solve the problem is greater cause for alarm." The bill may go to
the Rules Committee Monday, and the House floor later next week. Amtrak's
survival could depend on a successful floor amendment, which in turn seems
to depend on finding "offsets" (spending reductions, revenue increases)
elsewhere in the bill. The magnitude of that challenge is reflected in
the fact that Olver and David Obey (D-WI), the full committee's top Democrat,
yesterday praised Knollenberg for doing the best job possible with the
inadequate resources available under the Republican budget resolution.
SLO Surfliner to get dome coach Amtrak trains 798-799, the Los Angeles to San Luis Obispo Surfliners, have been designated to use Amtrak full-length dome car 10031, a "Great Dome" and Amtrak's only current dome car. The car will be used as an extra coach. SUMMER SOLSTICE IN BERLIN 1971
HOUSE COMMITTEE FAILS TO INCREASE AMTRAK FUNDS President Gunn Reacts to House Subcommittee's Anti-Amtrak Vote Amtrak President Talks of Acela and Food Service (see complete article) Amtrak computer outage creates problems with trains, reservations,
tickets
RailPAC endorses Amtrak-Laney funding proposal with reservations
Sources of hostility to Amtrak funding: Analysis AMTRAK VERSUS MINETA IN MONTANA:
THE STRANGE BATTLE OVER THE EMPIRE BUILDER
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DOT'S MINETA HARASSING AMTRAK &
AMTRAK'S REPLY TO THE MINETA LETTER
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