Hotline #855 - December 9, 1994

Because President Clinton has decided to seek a tax cut for the middle class, the White House is looking for programs to kill. Amtrak reportedly is a possible target. Today's Washington Post says the White House has shaken up its budget process to produce a bold response to the election and to emphasize the President's desire to move towards the political center.

The Post quoted a senior administration official, saying Clinton's budget options are being prepared not by agencies and departments, but by the President's National Economic Council, which is less protective of the programs. The official said key decisions will be sought from Clinton on December 12 and 13.

On Capital Hill, the best we can hope for is full funding of any amount Clinton does request. There is a "slash-and-burn" mentality among House Republican freshmen. This includes members of the House Budget Committee, whose new chairman, John Kasich (R.-Ohio) is not an Amtrak supporter. The likely key to a more moderate approach is Speaker-designate Newt Gingrich, who voted pro-Amtrak this year.

Make no mistake -- this is serious. Everyone should write to the President and to Representative Gingrich today. Also, Ohio members should write to Representative Kasich.

Our December newsletter is at the printer now and will be mailed first-class. The mailing will include a sample leaflet that can be used by members to help spread the word.

House Republicans this week officially changed the committee structure. Railroads have been moved from Energy and Commerce, which had been chaired by strongly pro-Amtrak John Dingell (D.-Mich.), to Public Works, now renamed Transportation and Infrastructure. The chairman is Bud Shuster (R.-Pa.), who already had jurisdiction over highways, transit, and aviation, and who is setting up a separate subcommittee for rail.

Incoming House Appropriations Chairman Bob Livingston (R.-La.) has said all discretionary programs are subject to elimination and that rescissions for 1995 are possible.

The Amtrak board's special meeting will be December 12 and 13. Amtrak may brief the media on December 14. We will change this hotline if any information on service cuts becomes available.

A new rule taking effect January 1 should save Amtrak some money. Currently, the Department of Transportation requires carriers to do random drug tests on half their operating work force each year. Now, carriers such as Amtrak, whose workers test positive less than 1% for the last two years, need test only 25% of their operating work force.

The Illinois Department of Transportation is moving ahead with plans for a third Chicago airport, using the Peotone site near Kankakee. The state has sunk $14 million into planning this project already. Although it is a rural site, a total of 1,200 people would lose their homes. Fortunately, this short-sighted project must go through an environmental impact process. We hope that the U.S. DOT will make sure that a competent alternatives analysis includes a regional, fast rail network.

Metra extended its Milwaukee-West line commuter trains from Elgin to Big Timber on December 5. Extension of CTC signaling three miles along the tracks owned by the Soo Line made it possible. Big Timer had only four trains a day earlier, but now has over 40. It has a lot more parking than the former terminus in Elgin, which is crowded and right next to a casino dock.

The United Transportation Union and CP-Soo Line have signed a contract this week, preventing the possibility of another strike, which could have happened in February.