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   What is the Amtrak board of directors expecting to happen with the rail corporation in fiscal year 2006 (which begins Oct. 1)? 
   We may find some hints in the board's actions at its March 17 meeting. Recall that the board currently consists entirely of Bush White House appointees, along with President David Gunn. 
   Among other actions, the board approved spending on advance orders of material to overhaul and/or remanufacture Superliner cars and P40 and P42 locomotives, the kind used on long distance trains. Can we assume from this that the board expects the long distance trains to continue operating for the foreseeable future? Some Amtrak watchers are speculating that what could happen is that some cutbacks in long distance service might occur (such as the much-maligned Sunset Limited) as a compromise measure to satisfy the Administration's desire for Amtrak blood, while the stronger routes are kept.
   The argument has been advanced that this is no time to cut back long distance train service, when fuel prices are steadily advancing. However, the feds in the past have seen no problem with cutting back passenger train service just when it was needed the most: During the Carter Administration in 1979 Amtrak endured the most serious route cutbacks in its history even though a serious energy crisis had begun and Amtrak patronage was leaping ahead.

   Reprinted here is a letter from Amtrak President David Gunn to his employees, dated March 18, describing the board's actions:

Dear Amtrak Co-workers

I want to report to you that we had a productive board of directors meeting in Washington yesterday. The board authorized management to procure materials and award contracts in advance that will allow us to go forward with numerous
capital project in FY ?06.

The board-approved $223 million advance-order plan is just a portion of the total plan for FY 06, but includes replacement of the lift span of the
Thames River Bridge, the second phase of the Oakland maintenance facility, the Baltimore tunnel cable replacement project, and the long-lead materials for Amfleet overhauls and remans, Superliner overhauls and remans, P-40/42
overhauls, electric traction projects, track work project, and so on.

However, the board has still not arrived at a grant request to Congress for FY 06. There will be an update when that happens of course, as you should know about all significant developments. I will be on vacation next week and return after Easter. Please continue to keep up the good work.
Sincerely,
David Gunn

While the Senate on March 16 failed to pass an amendment to a budget resolution that would have set Amtrak's funding level at $1.4 billion, the House on March 17 in its budget resolution did include $1.2 billion for Amtrak.
Here is the report from the National Association of Railroad Passengers:

The House of Representatives today [March 17] passed its Fiscal 2006 budget resolution.  Transportation funding is "the President's recommended level, as re-estimated by the Congressional Budget Office, with the following adjustment:  the starting level was increased to accommodate
for continued funding of passenger rail services."  The resolution assumes $1.2 billion for Amtrak, the same as this year's funding level.

House leaders added room for Amtrak in the budget resolution after 21Republican members wrote March 2 to Budget Committee Chairman Jim Nussle (IA), urging him to "provide sufficient funding...to sustain Amtrak's national network of passenger rail service.  The company is moving in
the right direction."  The lead signers were Railroads Subcommittee Chairman Steve LaTourette (OH), Mike Castle (DE), Sherwood Boehlert (NY) and Rob Simmons (CT).

During House Budget Committee consideration of the resolution, Rep.Allison Schwartz (D-PA), also a member of the Transportation and Infrastructure Committee, engaged Nussle in a colloquy regarding in which Nussle acknowledged and was hopeful that a portion of the
additional funding above the president's request would be used for Amtrak but left it in the hands of the appropriators. Budget resolutions are advisory and are not enacted into law; appropriations laws set exact funding levels for each program.

Yesterday, the Senate defeated 46-52 an amendment to the Senate's budget resolution which would have increased Amtrak funding to $1.4 billion, from the zero President Bush requested.  Four Republicans voted for Amtrak.  Some other Republicans emphasized that their vote against the
amendment was based on concern that the amendment was a closet tax increase.  Eight Republicans signed a February 10 letter pro-Amtrak letter to Senate Budget Committee Chairman Judd Gregg (R-NH) and Ranking Member Kent Conrad (D-ND).

Just before yesterday's vote, Sen. Trent Lott (R-MS) said, "While I support the intent of [Sen. Byrd] and I support Amtrak and I am determined to get this job done, we shouldn't do it in this way at this point."  Noting he is again chairman of the authorizing subcommittee, Lott said, "I am committed to find a way to get a reauthorization and get a reliable stream of funds for Amtrak so its future can be certain and so this does not have to depend on annual appropriations." 

Amtrak is unique in transportation in being responsible for multi-year
capital projects but not having any multi-year funding.

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