Rail service says without that amount shutdown possible
(Gannett News Service circulated the following story by Ledyard King on September 6.)
WASHINGTON, D.C. — Even under the rosiest budget scenario, Amtrak says it will have to delay needed repairs. At worst, the passenger rail company could face a midyear shutdown.
Federal lawmakers this week essentially ensured that the 2004 subsidy for the perpetually struggling train service will be far short of the $1.8 billion Amtrak has requested as a bare minimum to keep its trains running and address a backlog of repairs to rail cars, tracks and bridges.
The House this week approved a $900 million budget while a key Senate committee endorsed $1.35 billion for Amtrak.
“We’re encouraged by the (Senate’s action) but as we said before, Amtrak is in dire need of investment to bring the company to a state of good repair,” company spokesman Cliff Black said Friday. Even at $1.35 billion, “We would have to defer some capital projects that we feel are extremely important to have a smooth operating railroad.”
Amtrak received $1.04 billion in federal subsidies for this fiscal year, which ends Sept. 30. President Bush supports $900 million for the upcoming fiscal year, provided the company undergoes restructuring and opens up operation of its railroad lines to private competition.
Amtrak President David L. Gunn said that amount would lead to a midyear shutdown because it wouldn’t be enough to cover operating losses as well as needed maintenance and repairs to improve reliability along the Northeast corridor. Gunn said he would close the entire system rather than eliminate the long-distance trains that lose up to $300 per passenger.
Rep. Ernest Istook, R-Okla., who would rather spend Amtrak subsidies on highway aid, said the company doesn’t even deserve $900 million. Operating losses are projected to run $744 million alone in 2004, according to company budget documents.
“They want taxpayer money for their long-term capital investments because they have handled their system so poorly they find it difficult to attract private dollars,” he said during debate on the House floor Thursday.
Rep. Jack Quinn, R-N.Y., who wants to fund Amtrak’s full request, disagreed.
“I think we have given Amtrak ? I have said this so many times ? just enough money each year to make certain it fails,” he said.