Rail

Amtrak CEO: System funded 88% of operating costs

Posted on March 6, 2013

Amtrak President/CEO Joe Boardman told a Congressional committee that the intercity passenger train service is leveraging record ridership to reduce dependence on federal operating subsidies. He announced that in FY 2012, the federal government paid just 12% of Amtrak’s operating costs while Amtrak covered 88% with ticket sales and other revenue.

Boardman explained that while the railroad has taken actions to chip away at operating costs and increase revenue, a vital component of its success has been the federal government’s willingness to invest in the Amtrak national network. Federal capital investment helps to reduce operating costs, supports the existing system, funds solutions to reduce future costs, and provides the infrastructure and equipment to sustain ridership and revenue growth.

“Previous federal capital investment levels have sufficed to keep the system going, but they are not going to be adequate in the future,” Boardman stressed. “If we are to realize rail’s potential, we will need much higher levels of federal capital funding.”

He added that the Amtrak long distance trains are an important part of a larger national network connecting rural communities to larger cities and major urban areas. They serve passengers with disabilities, the elderly and rural populations that are losing scheduled intercity air and bus service.

View comments or post a comment on this story. (0 Comments)

More News

Siemens wins New York Communications-Based Train Control contract

The $156 million contract is to install the system on the Queens Boulevard Line, one of the busiest subway lines on the New York City Transit system.

Bike repair kiosks coming to select MARTA stations

MARTA partnered with the Atlanta Bicycle Coalition, a bike advocacy and rider education organization, to initiate the campaign and identify locations for the repair kiosks.

Sacramento RT's Blue Line extension begins service

The expansion offers local commuters an alternative to congested Highway 99 and brings new transit service to the area’s major employers. It will also encourage new retail and residential development in specially zoned areas along the light rail line.

Ariz.'s Valley Metro extends rail line into Downtown Mesa

Seven months ahead of schedule and on budget, the additional 3.1-miles of service on Main Street between Sycamore Drive and Mesa Drive was greeted with big cheers from riders, business owners and local leaders.

San Diego MTS offers free video-on-demand service on trolleys

First U.S. public transportation system offering mobile-based multi-channel VOD

See More News

Post a Comment

Post Comment

Comments (0)

More From The World's Largest Fleet Publisher

Automotive Fleet

The Car and truck fleet and leasing management magazine

Business Fleet

managing 10-50 company vehicles

Fleet Financials

Executive vehicle management

Government Fleet

managing public sector vehicles & equipment

TruckingInfo.com

THE COMMERCIAL TRUCK INDUSTRY’S MOST IN-DEPTH INFORMATION SOURCE

Work Truck Magazine

The resource for managers of class 1-7 truck Fleets

Schoolbus Fleet

Serving school transportation professionals in the U.S. and Canada

LCT Magazine

Global Resource For Limousine and Bus Transportation

Please sign in or register to .    Close