WASHINGTON, D.C. — The U.S. House Subcommittee on Railroads approved legislation on May 8 that would authorize $1.2 billion for Amtrak in Fiscal Year 2003 — the amount requested by Amtrak’s management — and an additional $775 million for life-safety and security programs.
The “Amtrak Reauthorization Act of 2002” (H.R. 4545), which was approved by a voice vote, also includes several new requirements that will dramatically improve the accountability over how Amtrak spends the new funding. The authors of the new bill are U.S. Rep. Don Young (R-Alaska), the Chairman of the Transportation and Infrastructure Committee, and U.S. Rep. Jack Quinn (R-NY), the Chairman of the Subcommittee on Railroads.
The legislation authorizes:
$1.2 billion for Fiscal Year 2003, including: $800 million for capital expenditures; $200 million for operating expenditures; and $200 million for Amtrak’s excess Railroad Retirement system obligations $375 million for a grant program for rail security projects on Amtrak $400 million for a grant program to make life-safety improvements in Amtrak tunnels in New York, Baltimore, and Washington
“There has been a vacuum in the House of Representatives on passenger rail, and many Members have chosen not to deal with the issue altogether,” said Railroad Subcommittee Chairman Quinn. “After four comprehensive hearings in my subcommittee, the time to act is now.
“This should be viewed exactly as what it is – a stop-gap bill that provides Amtrak with the level of funding necessary to continue its current operations, preventing any disruptions in service.
“Amtrak CEO George Warrington said that Amtrak needs $1.2 billion to avoid layoffs and routes being cut. This bill provides that investment, plus another $775 million in security upgrades and improvements. A large part of this money will go toward increased safety and upkeep.
“This bill will send a clear message to the Senate and the Administration that Amtrak is critical to our nation’s transportation network, and that it must stay on track. If not, Americans could end up being denied a safe, viable and efficient choice in how they travel. I will not stand idly by and watch that train leave the station,” Quinn said.
“On a bipartisan basis, we have crafted a short-term plan that will ensure that Amtrak does not have to cut any routes or service, while satisfying Congress’ desire for accountability,” said Transportation Committee Chairman Young.
“To keep track of Amtrak’s capital expenditures and oversee Amtrak’s accounting practices, the Department of Transportation Inspector General and the General Accounting Office will report back to Congress periodically with evaluations of Amtrak’s adherence to both capital and business plans.
“These evaluations will provide this Committee with the crucial financial snapshot of Amtrak that we will need next year when we address Amtrak’s future. “This bill is at least a temporary solution to the very complex Amtrak problem. Congress will once again bail out the ailing passenger rail company, but we will ask something in return for the taxpayers’ investment — accountability,” Young said.
“Each day hundreds of my New Jersey constituents travel by train through one of two tunnels to and from their jobs in New York City,” said U.S. Rep. Mike Ferguson (R-NJ), the Vice Chairman of the Railroad Subcommittee. “Since they pass through one of two tunnels, the security of these tunnels is paramount.
“On September 11, at least 1,500 children lost one or both of their parents. The funding that Chairman Young and Subcommittee Chairman Quinn has provided ensures that parents will get home to their children. I thank them for their leadership and applaud them in their efforts,“ Ferguson said.
H.R. 4545 — The Amtrak Reauthorization Act of 2002
SECTION 2. AUTHORIZATION OF APPROPRIATIONS Subsection (a) authorizes $800 million for capital expenditures (the exact amount requested by Amtrak for capital). Subsection (b) authorizes $200 million for operating expenditures (the exact amount requested by Amtrak for operations).
Subsection (c) authorizes such sums as may be necessary to pay Amtrak’s excess Railroad Retirement obligations (approximately $200 million by Amtrak’s own estimates).
Subsection (d) authorizes $375 million for rail security projects on Amtrak lines, and authorizes $400 million for life-safety improvements in Amtrak tunnels in New York, Baltimore, and Washington. The safety problems associated with these tunnels have been the subject of numerous government and independent studies.
Subsection (e) sets the outlay rate for the funds under the bill. Amtrak will get 50% on October 1, 2002, 25% on January 1, 2003, and 25% on April 1, 2003 Subsection (f) states that any appropriated funds under this section are available until expended.
Subsection (g) states that funds appropriated may not be used to subsidize operating costs of commuter or freight rail.
SECTION 3. AMTRAK FISCAL YEAR 2003 OVERSIGHT
Subsection (a) requires Amtrak to submit a work plan to the Secretary of Transportation, the DOT Inspector General, the House Transportation and Infrastructure Committee, and the Senate Commerce Science and Transportation Committee, that includes the work to be funded, timetables, and cost estimates by October 1, 2002. In addition, Amtrak is to provide supplemental plans to the above addressees on January 1, 2003, April 1, 2003, and September 1, 2003 identifying any substantial change to the original plan.
Subsection (b) requires Amtrak to submit a comprehensive business plan to the DOT Inspector General, the House Transportation and Infrastructure Committee, and the Senate Commerce Science and Transportation Committee no later than September 1, 2002. This plan shall include ridership targets and capital and operating expenditures, and shall be broken out by business unit. This plan is to be updated by Amtrak by April 1, 2003, identifying any deviations from or changes to the business plan.
Subsection (c) requires Amtrak’s President and Board of Directors to certify the work plan, supplemental reports, business plan and follow-up assessment.
Subsection (d) requires the DOT Inspector General to review Amtrak’s work plan, business plan, and supplemental reports and submit a report on each to the Secretary of DOT, the House Transportation and Infrastructure Committee and the Senate Commerce Science and Transportation Committee certifying that Amtrak is spending its capital in accordance with its work plan and/or its supplements. In addition, the DOT Inspector General shall conduct inspections as necessary to ensure the progress of the capital plan.
Subsection (e) requires the General Accounting Office (GAO) to audit Amtrak’s accounting practices and report to the House Transportation and Infrastructure Committee, and the Senate Commerce Science and Transportation Committee by January 1, 2003. GAO is to determine whether Amtrak’s accounting practices will sufficiently illustrate how funds made available under this Act are spent. Amtrak is to make all information requested by GAO available for inspection.