Congressional language on Amtrak food and beverage, cleepers and overhead

RESOLUTION ON HOUSE-PASSED AND SENATE APPROPRIATIONS COMMITTEE AMTRAK LANGUAGE REGARDING FOOD AND BEVERAGE, SLEEPERS, AND OVERHEAD

Whereas, on-board food and beverage service is universally regarded by carriers as necessary to boost travel volumes and total revenues, and is not considered a profit center;

Whereas, Amtrak has embarked on a continuing program to improve the cost-effectiveness of its on-board food service, including a revised contract with Gate Gourmet, on-board staff reductions, creation of diner-lounge cars, and plans to sell all meals continuously throughout the day (to reduce peak hour demand, encourage sales of meals and increase labor productivity);

Whereas, continued sleeper car service is essential for overnight trains to remain relevant to a broad cross section of middle class Americans and to attract additional passenger volume and revenue;

Whereas, the House of Representatives and the Senate Appropriations Committees have approved different Fiscal 2007 funding bills that set impossible targets for food and beverage and sleeper-car performance and thus jeopardize the continued existence of intercity rail passenger service in 25 states served only by overnight trains (and the Oklahoma-Texas Heartland Flyer, itself dependent on continuation of the national network);

Whereas, House language requiring continuing, annual 10% reductions in Amtrak overhead costs would be counterproductive and divert management attention from its primary job of delivering good customer service in the most efficient and economical manner; and

Whereas, Amtrak’s board and management already have strong incentives to use limited funds to meet many demands efficiently,

Therefore, be it resolved, that the Board of Directors of the National Association of Railroad Passengers strongly opposes:

• The targets set in above-mentioned bills passed by the House of Representatives and the Senate Appropriations Committee, as being non-attainable or attainable only with massive reductions in service quality and consequent loss of passenger revenue; and

• In general, provisions that establish detailed targets for specific functions, which tend to divert management’s attention from providing the best possible service in the most cost efficient manner and from producing the best possible overall bottom line result.

—Approved October 21, 2006, by the Board of Directors of the National Association of Railroad Passengers, meeting in Austin, TX.