Hotline #853 - November 25, 1994

A document circulated widely in Washington, prepared by the Republican staff of the House Budget Committee, lists several programs, including Amtrak, as examples of the cuts that could help implement the "Contract with America." This list says Amtrak cuts would save $2.8 billion over five years. That averages $560 million a year and clearly is a shutdown budget.

New Members of Congress in particular need to hear that their constituents support Amtrak, that Amtrak helps make communities more competitive, and that Amtrak helps businesses in their districts or states. Stressing the long record of bi-partisan support for Amtrak also helps.

The Federal Railroad Administration released the final environmental impact statement for the electrification project between New Haven and Boston on November 16. The FRA said that the greatest environmental threat actually would be further delay of the project, with which NARP agrees completely.

The evening express train from Toronto to Montreal derailed and partly burned on November 20 at Brighton, Ont., east of Cobourg. VIA Rail train 66, the Metropolis, struck a foreign object placed across the tracks, which ruptured the fuel tank and ignited the fire. Forty people were taken to hospitals. Two arrests have been made. Earlier that same day, the locomotive and baggage car of the eastbound Chaleur derailed at Rimouski, Que., after a vandal placed a cement block in a switch.

As reported here a few weeds ago, Amtrak board member Bob Kiley made damaging remarks at the November 3 meeting of the American Railroad Conference in Phoenix. Now the November 21 issue of Traffic World is giving his views more visibility. The story, by Jack Burke, begins by saying, "The National Railroad Passenger Corporation may soon be national in name only." In the article, Kiley said that there is no scenario that would get Amtrak through the fiscal year, even with additional congressional subsidies, that Amtrak wind up not operating trains but contracting them out, and that Amtrak should hold off on buying more equipment or negotiating new contracts with freight railroads until it redefines its mission. The article also quotes NARP Executive Director Ross Capon as saying that $70-100 million of Amtrak's projected shortfall results from overly pessimistic revenue projections.

The Amtrak board will meet next week, on November 29-30. A special meeting will be held December 13-14, when the board may make decisions about Amtrak service.

The state DOT's of Missouri and Oklahoma sponsored an Amtrak inspection trip November 7 and 8 from St. Louis to Springfield, Tulsa, Oklahoma City, and Fort Worth. Amtrak will furnish the states with a capital needs report based on the trip. The states have been considering 403(b) service on that route.

Amtrak appointed a new chief of the contract services unit, which is responsible for commuter trains that Amtrak operates under contract. He is Ronald Hartman, who was Maryland's State Transit Administrator until a year ago. His major responsibilities there included MARC commuter trains and Baltimore's entire transit system.