Yes, rail investments produce jobs and growth!
Eliminating all FY 2011 dollars for high-speed and intercity rail is therefore more than short-sighted. It sets the stage for an attack on the whole program.
Some of the rhetoric coming out of the mouths of conservative, anti-government politicians these days is no less than astonishing in its ignorance about infrastructure spending. They hold to the myth that high-speed rail spending - or even all rail spending - by government will not create jobs or economic growth. This is part of a larger myth that only non-government actions like private investment are what create private sector jobs and that government simply needs to get out of the way.
Government's role in investment
The truth is that government has always had a role in transportation infrastructure investment, at least from the days of the Roman Empire, and that this transportation investment leads to greater economic growth. It was proven during the Great Depression and again and again with the Interstate Highway System, new major rail and bus transit investments in cities, and with transportation funding in the American Recovery and Reinvestment Act of 2009. According to the U.S. Government Accountability Office and other government reports, transit investments created the most jobs per million dollars spent in that stimulus legislation. The same would hold for high-speed rail.
APTA has just released a new report, called "The Case for Business Investment in High-Speed and Intercity Passenger Rail," which shows that the large investments in high-speed and intercity rail along the lines of what President Obama has proposed just over the next six years will directly and indirectly result in at least partly creating more than 1.3 million jobs. Longer term, it can rejuvenate the U.S. manufacturing industries and help get us off the largest contributor to our trade deficit - oil imports.
Playing politics with our future
Taking the flawed and sometimes completely unsupported conclusions of conservative think tanks, the new House majority forced the administration and Senate to cut rail transit and high-speed rail disproportionately in the recently enacted FY 2011 budget. Unfortunately, the way that Washington works is that this sets a baseline for future investments. Eliminating all FY 2011 dollars for high-speed and intercity rail is therefore more than short-sighted. It sets the stage for an attack on the whole program.
This is playing politics with our economic future in a very important way. We need to remind these members of Congress that 32 states and the District of Columbia are advancing projects with FY 2010 dollars. We also need to remind them that every single one of our major trade competitors is still investing in rail, even while slashing other government spending.
As it has been for more than a century now, urban and regional rapid transit, intercity and future high-speed and passenger rail investments are just that - important investments to create jobs (remember that word?) and help boost the economy.
More Bus

New York MTA Plans Largest Bus Fleet Upgrade in More Than a Decade
The agency is seeking manufacturers for 650 new CNG buses to replace aging vehicles, improve reliability, and advance its broader fleet modernization strategy.
Read More →Building a Flexible Path to Transit Electrification
John Hroncich discusses BAE Systems’ modular and scalable approach, lessons learned from decades of real-world operations, and how agencies can identify electrification strategies that fit their fleets.
Read More →
Bus Tech Talk: Keeping Transit Technicians Ahead of the Technology Curve
LA Metro’s Obed Mejia discusses technician training, evolving maintenance technology, fleet replacement, and strategies for getting the most out of today’s transit fleets.
Read More →
Biz Briefs: RIPTA Unveils New Frontrunners, Clevland RTA Adds New Siemens, and More
In METRO's latest installment, we take a look at recent news from Siemens, Prevost, Dodge, and more partnerships making headlines across the transportation sector.
Read More →
People Movement: Holly Arnold Joins Transdev and More
In this edition, we also cover recent appointments and announcements at Pace, CamTran, MCI, and more, showcasing the individuals helping to shape the future of transportation.
Read More →
The High Cost of Transit Buses: Industry Leaders Look to Procurement Reform
Transit leaders and policymakers examine how standardized bus designs, streamlined procurement, and predictable funding could help agencies stretch budgets and deliver better service.
Read More →
The Business Voice Behind Public Transportation
As chair of APTA’s Business Members Board of Governors, Ray Melleady explains how more than 850 business members are partnering with transit agencies to advance funding, innovation, and industry-wide collaboration.
Read More →From Surviving to Thriving: Building Stronger Transportation Organizations
Bus Business Consultants founder Brian Dickson shares lessons on leadership, organizational health, and creating options for long-term success in a changing transportation industry.
Read More →
Finding the ‘Happy Medium’: Optimizing Maintenance Without Sacrificing Reliability
The key to maintenance optimization isn’t doing less work—it’s doing the right work at the right time on the right assets.
Read More →
LA Metro, City of West Hollywood, and Partners Advance Smarter Bus Lane Enforcement
The award-winning partnership combines AI-powered detection with human oversight to improve bus reliability, accessibility, and enforcement efficiency.
Read More →