If they were hoping that the administration would reconsider restoring some funding, the hearing’s sole witness, DOT Secretary Elaine L. Chao, gave them no comfort.
The administration proposes to reduce DOT’s annual budget from $18.6 billion to $16.2 billion. It would eliminate subsidies for Amtrak long-distance routes, and channel the funds into improving the infrastructure in the Northeast Corridor. It would provide enough money to continue funding transit and commuter rail projects under the Federal Transit Administration’s Capital Investment Program, but no funds for new starts.
Amtrak is depending on a Capital Investment Program grant to finance a portion of the costs of building a new tunnel under the Hudson River between Newark, N.J., and New York Penn Station. A recent report estimates that NJ Transit, the project manager, will need an estimated $12.9 billion to build the new tunnel and rehabilitate the existing tunnel.
Questions ranged from the popular TIGER grant program, which would be zeroed out in 2018, to the Essential Air Service program that subsidizes service to smaller cities, which faces defunding, just like Amtrak’s long-distance trains.
“With regard to Amtrak, I am concerned about the impact that elimination of long-distance service would have on shared infrastructure with state-supported routes, such as the Downeaster in Maine,” said Sen Susan Collins, R-Maine, chairman of the subcommittee.
“Long distance routes contribute in part to the capital expenditures for the Northeast Corridor,” said Sen. Jack Reed, D-R.I., the ranking member on the subcommittee. “That’s something of concern to many of us on the committee. It appears there will not be adequate resources for the Northeast Corridor.” He asked Chao, “Are you able to focus additional resources on the capital infrastructure of the Northeast Corridor?”
“The Northeast Corridor is the only one that has ability to sustain itself,” Chao said. She said DOT is working closely with Amtrak and with local and state authorities in that region, but there is no money available, except what’s in the president’s budget.
Reed continued, “There is a massive capital investment need in the Northeast Corridor which goes beyond the capacity of Amtrak in any way, shape or form. That’s something I don’t see reflected strenuously enough in the budget.”
Sen. Christopher Coons, D-Del., said his concern was that cuts in Amtrak intercity service will increase congestion on the highways.
“Help me understand how you can justify cuts so deep and so broad in Amtrak funding that has demonstrated to have a positive impact on getting people off our highways and moving them efficiently,” Coons said.
“Hopefully rearranging all the fundings, and terminating federal funding for the long distances, will allow Amtrak to focus its resources on the most vibrant part of Amtrak,” Chao said.
“The Northeast Corridor has a $38 billion ‘state of good repair’ backlog. How do you envision that backlog being addressed?” Coon asked.
Chao’s response seemed to say the repair backlog was Amtrak’s problem.
“These are repairs which have been delayed and the maintenance requirements are immense,” Chao said. “There has to be some way of looking at all these repairs, strategically figuring out best to prioritize these repairs, have a program, and then execute.
“Amtrak has a new president, and I am very hopeful the president and the board will be able to address some of these issues,” Chao said.
To watch the full hearing, to go www.appropriations.senate.gov.
Congress could explain why after 40 plus years Amtrak continues to lose billions of dollars,in the first place the government had and has no business running Amtrak,I remember to the day back in 1971 when the feds took over passenger rail from the freights,even boasted Amtrak would be self running in five years from that takeover ,fast forwards to now,I understand Amtrak gets about $1.4bn a year yet loses $230m a year(I’d like any math wiz to total up all the money Amtrak pissed away in 40 years time) forced to use the revenue in NEC operations to subsidies operations on the rest of the system,it seems Congress is pulling the strings yet complains about why Amtrak keeps losing money and yet people want to put CSX down for not being interested in passenger service in the gulf,If that the case I wouldn’t spend one dime on the gulf line unless the feds and state do more than just talk, I used to enjoy riding the sunset limited and truly miss it, but i understand if passenger service isn’t to be,and for some sections of the country it is very hard to travel on Amtrak anywhere,I once wanted to find a way to travel from Jacksonville,FL to Los Angeles,CA and after playing on Amtrak’s web site I would have to take three trains( Jax to Wash,D.C. then to Chicago,IL then to LA ) and the train fare?(travel coach at your own risk) you’re better off ether flying and yes driving,It’s a fact Amtrak is only interested in the NEC,I don’t care for Trump but ether end the money tree Amtrak gets or turn the rest of the system over to the states or a private company (like Japan Rail Company) that runs that nation’s railroads (and we know how efficient that country’s rail system is) somehow Congress needs to get out of playing political games that make Amtrak the money loser it is.
“Hopefully”, the Secretary said? That’s patently unacceptable.
Intercity train cuts would increase congestion? Maybe in the NEC. Between Philly and NYC, but that’s about it. It might even reduce highway traffic. Especially if the freight railroads used the extra capacity to provide better intermodal service, which would take TRUCKS off the interstates!
Andrew selden please provide a link to that moorman quoteq
This is the one reason why I’m wondering why I voted for Trump in the first place. Then again, with Republicans in charge, this was to be expected. As for the Democrats on The Hill during the Clinton and Obama Administrations, they were at least willing to fund Amtrak. Now that President Trump is calling the shots, we’re right back to Bush 43 and right back to Square 1. Although I do applaud President Trump for everything he’s doing in regards to our veterans, the working class, and foreign affairs, his outline of the 2018 budget proves that this administration has a loooooooooooooooooooong way to go. I’m not saying President Trump is perfect, but give the guy some credit. He’s new to politics, and besides, nobody becomes a politician overnight. Just give this administration some time. They’ll figure something out. I’m sure of it.
Secetary Chao displayed an appalling ignorance concerning Amtrak. The long distance segment does not consume federal subsidy and according to Mr, Moorman actually contributes an operating surplus that goes to cover part of Amtrak’s overhead costs, including the annual costs of its NEC infrastructure. The tens of billions in deferred maintenance in the NEC goes to show just how “profitable” or “successful” that segment has been. Every dollar that comes out of the subsidy means that much more, new, deferred maintenance in the NEC.
David Gunn said that if Amtrak didn’t get every dollar of its subsidy, the NEC would shut down. Everyone thought he was bluffing, but it is obvious now he was telling the literal truth.
The NARP “Hotline News” released today covers this topic in a way that seems to place the two in different universes. Why am I not surprised?
It’s still a “proposed” budget. President George W. Bush proposed a 2006 budget for AMTRAK of ZERO dollars. Members of congress from the affected states have so far managed to add enough money to keep AMTRAK limping along.
I am all for Amtrak. Yet, would you keep investing in a stock which has shown no growth in 46 years?
The SECTRANS is perpetuating the myth that the NEC “has the ability to sustain itself” (makes money). How does the NEC have the ability to sustain itself if it can’t generate sufficient funds for its maintenance? Perhaps Amtrak should stop operating its Florida, New Orleans, and Chicago long distance trains and regional trains of Virginia, North Carolina, and Pennsylvania over the NEC, that is have passengers transfer across the platform to/from NEC trains in Washington, Harrisburg, New York, and Boston stations. Then maybe we’ll have a better picture of the impact of the NEC on Amtrak.