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Paul Dyson

Amtrak National Network Campaign 2018, Editorials

Anderson and crew have it all wrong about Raton Pass

In their recent employee bulletin Amtrak management, (Anderson and crew) upped the ante by demanding over $100 million for the route of the Southwest Chief between Kansas and New Mexico, including “full PTC”.  If you want to hold politicians to ransom you wave the safety flag.  An elected official can be no more be against safety than she or he can oppose motherhood or apple pie, so it’s a slick tactic.  Our job is to expose it as a sham.  We can spend billions on marginal improvements with full PTC on every mile of track, or we can be sensible and assess the risk, keeping in mind that every dollar spent on PTC is a dollar that cannot be spent on track, improved and safer access for the handicapped, lighting and paving at stations, all of which improve safety.  As for taking people off trains and putting them on buses, it’s quite unbelievable for a supposedly safety conscious organization to even consider such a thing.

Per former NARP President Ross Capon:

“Putting people in buses to ride over Raton Pass would worsen safety, not improve it. Some rail-to-bus and bus-to-rail transfer injuries are likely, especially among older passengers. Moreover, Grady Cothen Jr., a leading PTC expert who retired in 2010 as FRA Deputy Associate Administrator for Safety Standards and remained active as a consultant until about two years ago, has told us that—based on available information—risks are limited on most of the Dodge City-Madrid segment because competing traffic is light in some places, nonexistent in others. The absence of heavy axle load freight traffic should also make derailment prevention easier, given the reduced risk of rail breaks and freight braking-induced kinks. Indeed, with limited PTC functionality procured at a tiny fraction of the $55 million Amtrak has quoted, this segment should have lower overall risk, even without PTC, than most of Amtrak’s network. (FRA does require PTC on the 20+ miles between La Junta and Las Animas Junction, due to freight tonnage — this is part of BNSF’s coal route.)

Amtrak claims SW Chief infrastructure capital costs are $100+ million over five years including $55m for PTC.

* The bulk of the $55m is not reasonable, per the above. 

* $22.5 million (the non-Amtrak share of the latest TIGER grant) would become available if and when Amtrak releases its $3m.

* This creates a dramatically more manageable scenario than Amtrak has portrayed.

Amtrak claims $3m operating costs — as has been noted, this figure would be dwarfed by the combined impact of charter bus expenses and revenues lost due to the bus operation.”

Once again much of Amtrak’s thinking is driven by their own negative attitude towards their own product, i.e. the interstate sleeper trains that are a key element of the National Network.  A growth minded organization would be figuring out how to add trains to this lightly used but scenic section of track which would not suffer from delays caused by freight trains.  If you read this quarter’s Steel Wheels you will see some good ideas about increasing revenue (making stations revenue and activity centers, 24 hour dining cars), as well as an essay on reorganizing Amtrak for the 21st century.  The threat to the Southwest Chief has brought some life back into the advocacy movement.  Let’s momentum and campaign for a reformed Amtrak with new management for the National Network.

Paul Dyson, 17th August.

pdyson@railpac.org

Amtrak National Network Campaign 2018, Events, Steel Wheels Conference

Steel Wheels Conference Sacramento September 29

If you want to help RailPAC preserve and expand the National Network of passenger trains, and grow the regional services in California you should attend this important event.  Registration is open at eventbrite.com.

railpac2018.eventbrite.com

The event will be held at the California State Railroad Museum from 10.00am and we have a number of experts who will be giving presentations about the State of the passenger rail State, and the future of passenger rail in general.  There will be plenty of time for Q&A and discussion.  Bring your questions and ideas.

NOTE: REGISTER BEFORE SEPTEMBER 16TH YOU WILL RECEIVE A FREE BOX LUNCH

Final Agenda and Speaker Times (8/23/18)

Check-In Morning Coffee snack 10:00 AM  – 10:30 AM (Check-in to remain open until Capitol Corridor riders arrive)

10:15 AM – 10:30 AM – Welcome and Housekeeping

10:30 AM – 11:15 AM – Bruce Becker, Rail Passengers Association, will discuss current Amtrak funding status, the National Network initiative and the Southwest Chief effort

 

11:15 AM – 11:59 AM – Dan Leavitt, Manager of Regional Initiatives San Joaquin Joint Powers Authority, will  provide an  overview of “Valley Rail”, a major expansion of passenger rail service in the Northern San Joaquin Valley

12:01 PM – Lunch

1:00 PM – 1:45 PM – Frank Vacca, Chief of Rail Operations, California High-Speed Rail Authority, will present an update on California High-Speed Rail and an overview of ongoing projects, challenges and upcoming initiatives to fulfill goals of 2018 Business Plan

 

1:45 PM – 2:30 PM – Jim Allison, Manager of Planning, Capitol Corridor Joint Powers Authority, will present Capitol Corridor’s future vision for faster/expanded service between Roseville and San Jose

 

2:30 PM – 3:15 PM – Mark Singer, Rail Provocateur

RailPAC Business Meeting            3:15 PM – 3:45 PM

 

Amtrak National Network Campaign 2018, Commentary

Anderson to California, Congress, and Amtrak Employees – ********

Just heard from an unimpeachable source that Anderson has told employees that the current operation of the Southwest Chief is unacceptable and will be changed.

Here’s the full text, bold or italics are mine:

We know many of you have concerns about the status of the Southwest Chief. Here’s an update:

We are considering changes to the route and operation of the Southwest Chief. No decision has been made yet on our long-term operation of the entire Southwest Chief route, but a portion of the route faces unique challenges because of extensive operational and capital investment costs required to continue the present service. We are considering all options on how to make this route work, given the changing needs of our passengers, our limited resources and the expectations of Congress to deliver this service safely and efficiently. What we want you and our stakeholders to know is that the status quo is not an option – we or others either have to invest more or make changes.

We are looking specifically at changes to the Southwest Chief because it requires a lot of capital investment to keep it running “as is.” The Southwest Chief currently loses more than $50M every year, and we will need to invest more than $100M in the next 3-5 years to bring the route to a State of Good Repair and to fully implement Positive Train Control, plus additional operating expenses that will likely add to the train’s annual losses. We are responsible for all maintenance and capital costs for a 219-mile stretch of the route between Colorado and New Mexico. Also, Positive Train Control is not installed on a 348-mile stretch between Dodge City, Kan., and Albuquerque. No other Amtrak route has this combination of operational losses with capital investment needs. And this is an issue for us because we have a clear mandate from Congress, which is stated in the FAST Act, to deliver our services in a cost-effective manner, and we are falling short of this mandate with the Southwest Chief. We have many capital needs at Amtrak, and we have limited resources. We have to balance the needs of the Southwest Chief with the needs of the rest of our National Network, including all of our other Long Distance trains.

We know that many of our customers and stakeholders value this route – and we are evaluating all options. We are continuing to have conversations with members of the Kansas, Colorado and New Mexico congressional delegations and state and local leaders about the various options and funding needs. In addition, we will have senior executives onboard the Southwest Chief next week to talk with our stakeholders along the route.

We will provide updates as new information becomes available. In the meantime, we ask that everyone continue to provide excellent service and hospitality to our Southwest Chief customers and continue to operate safely and with the high degree of professionalism that defines our employees.

+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++

As I warned, victory celebrations for the Chief were certainly premature.  this is just the beginning of a determined effort to eliminate the National Network.

Advocacy groups are working on a response to this, updates will follow.

Previous comments about the Riverside reservation center appear to be premature, but we continue to verify.

Pdyson@railpac.org

 

 

Commentary

RailPAC California State Legislative Resolution SJR-30

RailPAC initiates California State Legislature Resolution to support the National Network and invest in new rolling stock.
Senator Mark McGuire today (Thursday August 9th, 2018) introduced Senate Joint Resolution 30 (SJR 30), drafted by RailPAC, with language that calls for an end to the Amtrak plans to break up the National Network into short corridors funded by the States.  The full language will be posted on line soon and is subject to amendment.  The Resolution already had seven co-authors including Senate Transportation Committee chair Jim Beall.  It has been co-authored in the Assembly by Laura Friedman, (Burbank).  The purpose of this resolution is to send a strong and clear message to Amtrak, the US Department of Transportation, and the Congress, that California supports the National network and wants a fair share of Amtrak’s investment dollars.
This exciting development is the result of the close personal contacts of RailPAC member Richard Spotswood and the regular visits to the Capitol by RailPAC President Paul Dyson, Vice President Steve Roberts, Director Doug Kerr and member Geoff McLennan.  Every quarter we hand deliver Steel Wheels to each legislators office as well as the committee offices and State offices in Sacramento and introduce ourselves to the members or their staffs.
We need your help to get this passed.  CALL YOUR SENATOR AND ASSEMBLYMEMBER. Tell them you are from RailPAC and ask for them to support SJR – 30 (McGuire).
If you need help locating your representatives, go to:
Don’t put this off.  This will come up for a vote in the next week to ten days,
Let’s get this done, and who knows, maybe next year we can get a bill passed.
Contact me with any questions,
+++++++++++++++++
Amtrak National Network Campaign 2018, Events

Anderson turns down RailPAC invitation

RailPAC invited Amtrak CEO Richard Anderson to present his vision for Amtrak in the 21st Century at the Annual Steel Wheels Conference in Sacramento, Saturday 29th September.  A brief (terse?) response from his PA informed us that he is “unavailable”.  No offer, as in the past, to send a senior officer in his stead.  It has been clear from his dealings with politicians and other advocates that he has no time for opposing opinions, nor for those of us who are the true, loyal supporters of passenger rail.  So the fight for the National Network continues.

Be sure to support the Steel Wheels Conference and Annual meeting.  There will be plenty of interesting and informative speakers, and discussion as to how we continue the fight for the National Network.

Paul Dyson

 

Amtrak National Network Campaign 2018, Commentary

ATK, CEO, OTP, PTC, F&B, BLT, UP, etc. Challenges, challenges.

Commentary by Russ Jackson

Here we are in August, 2018.  What a summer it has been on the nerves of rail advocates!  Just how different has it been from August in 2008, 1998, 1988 or 1978?  Not much.  Each of the symbols in the title of this article are just as important to the future of rail passenger transportation as in any decade.

ATK.  That’s Amtrak, and here we are in the 5th decade where Amtrak has had the monopoly on rail passenger service in this country.  There have been many positives over the years, but there have been many criticisms that recur year after year and never seem to be “solved,” all of which would have contributed to making Amtrak thrive and possibly prevented the dire straits Amtrak has found itself in. Some advocate organizations have whitewashed the shortcomings, preferring to tout the fact that we have a national system of trains for us to ride, and to be too critical risks losing what we have.  Well, here we are in 2018 and what is the foremost problem facing us?  Right, it’s the highest risk of losing the national system than at any time in Amtrak’s history.  This writer congratulates RailPAC’s Paul Dyson, RPA’s Peter LeCody, the U.S. Senators from Kansas, Colorado, New Mexico plus Illinois and California, and the local community leaders along the route of Amtrak’s endangered Southwest Chief for the leadership they have shown to preserve that train, as well as those individuals and organizations in other states who have stood up and joined the fight on other issues from coast to coast.

CEO.  That ‘s Chief Executive Officer.  What we have now at Amtrak is a CEO who has come to the railroad with no railroad experience and brought with him executives who have executive experience, but no cultural background in passenger rail.  They are number crunchers, and while that is not totally disqualifying it is not enough for them to be entering a whole new experience without knowing what they were getting into.  Now they are finding out what “rail advocacy” means.  There is a whole industry of folks with memories of what rail passenger service was and should be, and are not afraid to speak up in its behalf.  There isn’t a similar national constituency that speaks for any other transportation mode.  The actions of the current Amtrak CEO this year have taken a toll on riders, company employees and their unions, and communities across the country.  What we now see in August is the “stand up for the national system” crowd is having a positive effect.  Have you noticed that Amtrak’s CEO has been very quiet for the last few weeks?  It “isn’t over until it’s over,” as Yogi used to say.  We can only hope CEO Richard Anderson hasn’t hunkered down waiting for the storm to pass before acting again.  Meanwhile, let’s detail some of the same old problems and see if he has been totally quiet.

PTC.  That’s Positive Train Control, the federally mandated system designed to prevent accidents on the railroads.  PTC is supposed to be implemented on all railroad owners by the end of 2018, and some are farther along in compliance than others.  Amtrak’s CEO is declaring this end of the year date as a mandate on him to preserve Amtrak service on any segment that Amtrak uses, and has threatened loss of service to any that are not compliant.  That includes the historic “Santa Fe” line across western Kansas, southeastern Colorado, and northern New Mexico currently carrying the Southwest Chief and no freight trains south of LaJunta, CO.  Another smaller segment is the line between Dallas and Ft. Worth, Texas, that carries the Texas Eagle and the TRE commuter trains.  The TRE told NBC5 in Dallas in a long report that they are working on implementing PTC, but a “shortage of funds and required equipment” may cause them to not be ready until 2019.  What will Amtrak do in that case or the other similar short segments?  Is the Denver to Grand Junction CO California Zephyr line in similar jeopardy?  Is that the next national system train in jeopardy?

OTP.  That’s On Time Performance.  When in Amtrak’s history has that not been an issue?  Amtrak’s Anderson has said in effect that they are tired of pushing the freight railroads day after day about running the trains on time.  We are tired of it being an issue, but it is inevitable that as long as the passenger trains are running on the lines owned by the freight railroads that conflicts will occur.  The U.S. Senate has passed a measure “to analyze impact of Amtrak’s on-time performance.”  And it passed 99-0.  RailPAC’s Steve Roberts says, “OTP is a major driver of repeat ridership, hence ticket revenue and costs.  Improved OTP would improve a lot of metrics for rail service.  I think the lopsided vote is a testament to the heightened awareness as a result of the Southwest Chief situation.  Maybe there is method (planned or unplanned) behind the Amtrak madness.”  We await the results, but conflicts are bound to happen on any line at any time that are not preventable.

F&B.  That’s Food and Beverage.  One of the first challenges that Amtrak’s CEO thrust upon the riding public was removing the Pacific Parlour Cars from the Coast Starlight.  Rumors persist that Mr. Anderson discovered only one person in the car, who wondered why it was there, then he acted.  Maybe yes, maybe no, but the only “first class” service on the national system disappeared overnight.  Then he changed the meal service on two eastern national system trains, the Lake Shore and The Capitol, and substituted box meals while reducing “costs” by eliminating positions in the Dining cars on those trains.  The firestorm of protest is still being heard.  If we wanted box meals we can get them from Kentucky Chicken, we said,  Now one hot meal has returned as an option, but it still comes in a box.  Look on www.AmtrakFoodFacts.com,  click on a train and see what is offered.  Thankfully that regretable option has not spread to other national system trains.  Yet.  OH, WAIT A MINUTE.  As this is being written we are hearing that the same process is going to be instituted in the Texas Eagle Diner-Lounges in September!  OH OH.

BLT.  That, of course, is a bacon-lettuce-tomato sandwhich, and this writer has called for the inclusion of such a self-descriptive item on Amtrak’s menus (with other similar highly recognized items) because it is so simple, inexpensive, and any rider can recognize it and want to go to the Dining car to buy it.  What we will look at next on this topic is some of the language that “fancies up” some Amtrak menu choices.  When you see “orzo, prosciutto, sopperssta, cannellini, arcadian, julienne, balsamic, quinoa, edamame” on the menu do you understand what is offered?  Many folks do not, and when they are told that it could also be called a high quality ham and cheese sandwich, well, then they understand.  Why do menu writers think they have to be so fancy?  Or, when they write that there is an “antipasto plate” and it contains “prosciutto, sopressata and smoked turkey, smoked Gruyere and aged Asiago cheese, artichoke hearts, stuffed olives, cornichons, grape tomatoes, cillengini and crisp Italkan bread sticks served with Colavita limonlio, cannellini bean salad and salted cheese cake” the only thing I hear is “cheese cake.”  Yum.  Oh, there is no longer any ice cream on menus.  And, where is the “mac and cheese” choice for everyone?  

UP.  Yes, the Union Pacific Railroad.  While the UP is only one of the freight railroads that Amtrak must deal with day by day, month by month, and year by year, the UP is one that can quickly accommodate GROWTH (this writer’s favorite epithet aimed at Amtrak and its non-growth policies), such as a daily Sunset Limited.  The UP’s CEO recently appeared at the National Press Club in Washington DC, and while he is a very articulate spokesperson for the industry and most of the hour interview pertained to PTC and other railroad issues, in the last five minutes questioners brought up Amtrak.  He explained that he intends to accommodate Amtrak trains on the system as long as he has to, BUT, he is not going to be receptive to any new trains.  We have seen that attitude from his predecessors and expect nothing less in the future, requiring a huge amount of effort on the part of Amtrak’s administration and the Congress.   Are they up to it?  Do they want to be?   The are more so now.  Let’s GROW!

Solutions to these challenges are required to make Amtrak a truly national system of high quality train experiences that will entice more riders, bring badly needed new equipment on line nationally, and through realistic marketing will make it possible for this writer and future generations of rail advocates to be proud to support what it can become.  Don’t laugh, that is a must-see outcome of this summer’s debacle too.  As Andrew Selden wrote in Railway Age recently, “A small part of the issue is that Amtrak’s senior managers foolishly misapprehend the character of its customers on long-distance trains as consisting of “discretionary,” “leisure” or “experiential” travelers. These customers, according to Amtrak’s strategy, seemingly also are “dispensable.” That view would be a rude surprise to management at Carnival (or a dozen other cruise ship operators), scores of tourist railroads (like the Durango & Silverton), or any of a dozen airlines that are growing as fast as they can finance new aircraft. All of these carriers are adding amenities, not subtracting them. They staff their stations, feed their customers, build their fleets, and haul away the money they make. But not Amtrak”.  Readers, you must keep on top of the story this summer, and most of you have.  Onward to GROWTH! 
editrail@aol.com

 

Amtrak National Network Campaign 2018, Issues

RPA Staff Fact Check of Amtrak Statements re Southwest Chief

Fact Checking the Amtrak Proposal to Replace the Southwest Chief with Bus Service in Kansas, Colorado, and New Mexico

 

The Southwest Chief would effectively cease to exist if the proposed bus bridge from Dodge City, KS or La Junta, CO to Albuquerque is implemented. While presented as a decision based in concern for passenger safety and cost reductions, the plan would make passengers less safe, dissipate the service’s economic impact across the corridor, and—given the resulting collapse of ridership and revenue—effectively save no tax dollars on operational expenses.

 

The plan to truncate the Southwest Chief with a bus bridge would also shift costs to states that have the most to lose from its truncation. In its presentation on the proposed bus bridge, Amtrak points to plans for service expansions in Colorado, Kansas, and Oklahoma as evidence of its commitment to the region. However, the cost of these services would be borne by the states under PRIIA Sec. 209. While the continued presence of the Chief would in fact facilitate the development of these services with valuable passenger connections, the development of these urban corridor services shouldn’t come at the the expense of rural communities that currently depend on Amtrak National Network service.

 

The bus bridge will worsen the performance metrics Amtrak is using to justify this truncation without lowering taxpayer costs

  • The Chief’s ridership trends are steady: Amtrak’s earlier statement that the number of passengers using the Chief is “steadily declining” is false. Ridership volume in FY 2017 was down only 1% from its peak in FY 2015; it was up 14% from eight years ago in FY 2009.
  • Amtrak’s presentation highlights the fact that 96% of Amtrak trips are under 750 miles. But for the Chief’s 2,265 miles, conspicuously absent is the fact that trips on the Chief overlap along the entirety of the corridor. Having analyzed the Chief’s passenger load throughout its route, Rail Passengers estimates significant ridership and 70% of the trains’ current revenue is at risk under this proposal. The proposed bus bridge would be of a significant enough duration – 6-12 hours—to decimate high revenue sleeping car ridership. This is made more disappointing because;
  • The Chief’s seat occupancy rate compares well even to the NEC: Amtrak’s earlier claim that the Chief operates “40% empty” fails to fully capture how busy the train is. The reality is that passengers filled 61.5% of the Chief’s available seat miles during FY 2017. This number puts the Chief within the top 20% of all Amtrak’s routes (8th out of 48), higher than even the Acela Express (In assessing “occupancy,” it’s important to recognize that trains do not operate the same as airplanes; trains do not make a single trip between a pair of end points, they make numerous stops along a single corridor. As a result, there is a constant turnover of seats. That’s the strength of a long-distance corridor train like the Chief; by connecting 36 stations, it provides a convenient, single seat ride for passengers traveling short, medium and long distances, serving 528 unique city pairs. This allows a single corridor to generate the volumes and revenues needed to serve people in urban and rural communities. In matter of fact, on the more heavily traveled segments of the Chief’s route, the number of passengers can be 90% or more of the available seats, causing “sold out” conditions for prospective passengers.)
  • By using a Fully Allocated Cost methodology, Amtrak fails to fully capture the incremental cost of running the Chief. Had the railroad also employed Avoidable Cost methodology—as stipulated in the Consolidated Appropriations Act of 2005 (Public Law 108-447)—the cost would have been significantly lower. Rail Passengers’ estimate, developed using concepts developed by the Volpe Transportation Center for Amtrak in 2009, suggests that as much as 80% of the costs that Amtrak allocates to the Chief may represent fixed costs for shared facilities and overhead. These costs would not go away with the Chief’s elimination and would instead be allocated to other routes.

 

Amtrak is asking its stakeholders for more, after reneging on a partnership it has repeatedly and publicly committed to over the course of multiple grant applications

  • States have already invested local funds in partnership with Amtrak: Colorado, Kansas, and New Mexico have all invested over $9 million in state funds ($6 million in previous TIGER grant applications with another $3 million in the current round of TIGER grants), based upon an explicit agreement between Amtrak, Amtrak-served communities, and BNSF Railroad. For Amtrak to suddenly withdraw its support for the Chief in the middle of the preservation effort, without any opportunity for stakeholder input, constitutes a serious breach of trust.
  • This sudden decision by Amtrak has stalled applications for additional infrastructure grants, including plans to apply for a share of the $1.5 billion in grant funding offered through the Better Utilizing Investments to Leverage Development (BUILD) Transportation Discretionary Grants program. Given the BUILD program’s emphasis on supporting rural transportation systems, it’s safe to assume the Southwest Chief would have scored well.

 

The bus bridge will be less safe for passengers, less accessible to the public

  • Amtrak’s justification of forcing passengers onto busses for lack of Positive Train Control will make them less safe; Busses have 3.04 accidents per million passenger miles, while intercity passenger trains only have 1.7, over 40% fewer accidents mile for mile.
  • Amtrak has enjoyed considerable gains in ridership from the Accessibility Community, because Busses and trains are not equal options for these passengers. Bus Bathrooms are in no way ADA compliant, while accomodations can be made on Amtrak, a real factor for a 6-12 hour journey. Ingress and Egress issues are a significant area of risk addressed in the ADA, and multiple transfers increase the probability of injuries.
  • Amtrak states that the $50 million, ten year-investment in infrastructure investment “does not include positive train control (PTC) installation and implementation costs.”
    • The focus on safety is admirable and correct. However, the Federal Railroad Administration does not require PTC over lines with fewer than four passenger trains per day, and less than 15 Million tons of freight per year. (49 CFR 236.1019 – Main line track exceptions).
    • Risks are limited because competing traffic is light in some places, non-existent in others. The absence of heavy axle load freight traffic should also make derailment prevention easier, given the reduced risk of rail breaks and freight braking-induced kinks. This segment should have lower overall risk, even without PTC, than most of the network.
    • The Raton Route in question is considered safely exempt by the FRA, save for the Rail Runner district in Albuquerque; the Rio Metro Regional Transit District is currently working with the FRA to ensure that it meets all PTC requirements in a timely fashion.

 

The Rail Passengers Association represents the passengers and communities that depend on this corridor, and so we feel compelled to provide a broader and more complete context to help members of Congress evaluate the proper next steps to preserve this important transportation service for residents in the 36 communities across 8 states that depend on the Southwest Chief. We are available for any further elaboration.

 

RPA has done a good job here, and there are plenty of quotable sections for your letters to our Senators and Congressional Representatives.  Paul Dyson

Commentary

RailPAC Letter to Amtrak Chair Coscia

RailPAC

Mr. Anthony Coscia                                                                                                            13th July, 2018

Chairman of the Board

National Railroad Passenger Corporation

60 Massachusetts Avenue NE

Washington DC 20002-4285

 

Dear Mr. Coscia:

 

RailPAC is a 501c3 all volunteer California corporation that has, since 1978, campaigned for the improvement of mobility for all by increased passenger rail service.  We support the National Network of overnight trains as well as regional and commuter services.  We are recognized at State and local level as having been influential in the establishment and expansion of rail passenger service in California, and for having considerable expertise among our members.

 

It is our understanding that public policy, enunciated in legislation in 1971 and confirmed many times since, is for the United States to have a National Network of passenger trains, to be operated by NRPC.

It appears to us that, by his statements and actions, your recently appointed CEO Mr. Richard Anderson is not aware of the support for the National Network among many key constituencies, or the negative financial consequences and loss of political support if the national route structure is destroyed. In his interactions with the congressional delegates from Kansas, Colorado and New Mexico, he seems to have been so badly briefed by his staff that the presentation made by NRPC contained deliberately deceptive statements that amounted to falsehoods in their description of the performance of the Southwest Chief. It is hard for my organization to imagine that this is the intention of you and your board.

 

Over the years the National Network of overnight trains has been blamed for Amtrak’s deficits.  We disagree.  The National Network generates more passenger miles and revenue than the Northeast Corridor and is mostly hampered by being starved of investment and freight railroad issues for at least two decades.  You and your Board should remember that the NEC was not part of the original Amtrak and that it was dumped on the company in 1976, because no other agency wanted to take on the crippling backlog of infrastructure repairs.  With $300 – $400 million in yearly maintenance costs and $30 to $50 Billion in state of good repair and capacity needs, it’s the NEC that is the burden on Amtrak, not the National Network.

 

Part of Mr. Anderson’s announced policy is to operate medium distance corridors in “partnership” with the States.  Again, he appears to have been given a very poor analysis of the State’s appetite for participation in such ventures.  Surely the Board, in its experience, does not expect States like Arizona and Kansas to pay for a rail service which is currently a federal program?  Look at recent events in Alabama.  Yet this seems to be what he is proposing. Indeed, if the National Network no longer exists, and with high-speed rail on the horizon what need would California have for Amtrak? The National Network is a federal program and should remain so, even if this requires amending PRIIA legislation.

 

We cannot say whether Mr. Anderson’s statements and policies are the result of information he is receiving from officers of the company, from direction of the Board, or from other influences. NRPC Board should immediately issue a clarification.  Is it still the role of NRPC to operate a National Network of passenger trains?  If so, you need to give direction to your CEO to carry out that policy. You may also wish to institute some enquiries regarding the information that was given to Congress regarding the Southwest Chief.

 

RailPAC will not blindly support NRPC policy; indeed, we will actively oppose the destruction of the National Network, which is a national asset whose full potential is yet to be realized and make efforts to prevent the expenditure of any state funds to pay for interstate rail service.

 

Yours faithfully,

ORIGINAL SIGNED

PAUL DYSON

Paul Dyson, President, pdyson@railpac.org                                  cc RailPAC Board and interested parties

818 371 9516

Amtrak National Network Campaign 2018, Commentary, The Steel Wheels Column

Amtrak debt free says Anderson – Amtrak FY17 audited balance sheet says otherwise

At the now notorious Los Angeles Rail Summit in April one of Anderson’s most extraordinary comment was that Amtrak is, or shortly will be, “debt-free”.
The FY’17 audited balance sheet, thoughtfully posted on their website, reports current liabilities of $1.6 billion, of which $136 million is the current maturities of long term debt and capital leases, and the rest is other current debt, plus $1.053 billion in various long term debt and capital lease obligations.
Amtrak’s total direct indebtedness thus is around $2.7 billion, plus whatever is secured by the rarely-mentioned mortgage of the NEC to the United States. Plus, of course, the $25 billion (or whatever it is now) in the “State Of Good Repair deficit” in the NEC.
Plus its “other liabilities” on the balance sheet that add up to another $3.2 billion.
Plus $10.9 billion in preferred stock held by the government.
Now Anderson was not appointed to his position because of his abilities as an accountant, but there can be no excuse for the statement that he made.
Thanks to Andy Selden of MinnARP for digging up the facts.
Amtrak National Network Campaign 2018

Newspaper Report on Amtrak meeting with Senators

From Paul Dyson:

News is coming in thick and fast about the Southwest Chief and RailPAC is doing its best to keep you up to date.

As you probably know Amtrak CEO Richard Anderson has stated that he believes that the National Network sleeper trains (we don’t like the term “long distance”) are not viable, and he wants to replace them with short and medium distance “corridors”.  At the same time he is concerned about safety, rightly so, but has overreached himself by stating that all Amtrak trains should run on routes with Positive Train Control installed. (“PTC”).  The Federal Railroad Administration,   who should know a thing or two about this, has indicated that waivers are appropriate in cases where non passenger traffic is minimal or non-existant.

The segment of route between Dodge City, KS and Lamy, NM has no freight service at present and is in need of heavy maintenance, such as ties and rails.  For many years the States, line owner BNSF, and Amtrak have pieced together a deal, using various grants and pools of funds, to keep the line open and the trains running.  I believe that BNSF wants to keep access to the line, either as a diversionary route for emergencies, or for future business not yet identified publicly.  Certainly the States and the communities served want to see the train continue.

Thus the scene is set for a meeting between Senators of Kansas, Colorado and New Mexico regarding the future of the Southwest Chief:

From the Kansas 25th June 2018

Amtrak considering busses for part of Chief

Posted Jun 25, 2018 at 3:54 PMUpdated Jun 25, 2018 at 4:31 PM

There is a new threat to the Southwest Chief, a long distance Amtrak train from Chicago to Los Angeles with six stops in Kansas including Newton.

The Chief has turned back multiple threats in the past decade, but this one could be the most serious according to Evan Stair, president of Passenger Rail Kansas and Passenger Rail Oklahoma.

“Most of the threats to Amtrak services in the past have been based upon congressional budget cuts or cuts from the president,” Stair said. “This is the first time, really, that you have the CEO at Amtrak … who is making broad-based assumptions about service.”

A plan to suspend rail service, and insert the use of a bus service in its place, in the middle of the route was presented to members of congress last week. A copy of a powerpoint presentation created by Richard Anderson, president and chief executive officer of Amtrak, for that meeting with legislators from Kansas, Colorado and New Mexico was obtained by The Newton Kansan.

“During conversations with members of the Kansas, Colorado and New Mexico congressional delegations, Amtrak indicated that we are considering various service options for the Southwest Chief in response to the significant host railroad costs facing Amtrak for continued use of the middle portion of the route between Dodge City and Albuquerque,” said Marc Magliari, public relations manager for Amtrak. “These options will consider the long-term operating and capital costs of continuing current service over the entire route and alternate bus and rail service combinations that would ensure continued transportation service and connections to the Amtrak rail network for all communities along the route.”

Towns that could lose train service initially include Garden City, Kansas; Lamar, Colorado; La Junta, Colorado; Trinidad, Colorado; Raton, New Mexico; Las Vegas, New Mexico; and Lamy, New Mexico.

According to Amtrak, those towns would be served by charter buses to connect the two stubs of the current Southwest Chief train.

It is not a plan that sits well with Stair.

“Every time you have what is called a cross-platform transfer, you lose 50 percent of your ridership,” Stair said. “That comes from an equipment provider. If there is a change in Dodge City or LaJunta, you cut your ridership in half. You change from a bus to a train again at Albuquerque and you take that half and half it again. You are talking about a dramatic drop in ridership.”

Over the past five years ridership on the Southwest Chief has risen — from 355,815 in 2013 to 363,269 in 2017. Ridership has declined the past two years after a peak in 2015.

Albuquerque is the largest station on the list of bus service, with more than 77,000 riders annually and the third largest stop on the Chief route, according Amtrak statistics. Newton is the 10th largest stop on the route, with 13,741 riders each year. Newton generates $1.4 million in ticket revenues for the route.

There are 33 stations served by the Southwest Chief.

“There are 992 city pairs, combinations for stops, on the Southwest Chief,” Stair said. “Seats and beds are resold multiple times on the trip from Chicago to Los Angeles. … There are segments of the route where you can not get a ticket because this train is sold out.”

At the heart of the struggle to keep the train moving is needed repairs and updates to about a 670-mile stretch of track — specifically a 216-mile segment in Colorado and New Mexico where there are no longer any freight trains operated — making Amtrak the sole user of the stretch.

That also makes Amtrak responsible for all capital and maintenance costs on that stretch of track, which is owned by BNSF.

“The Southwest Chief is unique in that it is the only route where a significant section of infrastructure is owned by a host railroad – BNSF Railway – but solely used by Amtrak,” Magliari said. “Significant future costs are facing Amtrak to upgrade the BNSF track. Amtrak is thoroughly analyzing the route and considering the appropriate strategies for enhancing safety for operations after the December 2018 federal deadline for Positive Train Control.”

According to Amtrak documents, annual maintenance costs for the sole use segment of track in Colorado and New Mexico is estimated at $3 million. The railway estimated capital costs and improvements of at least $30 million over the next five years.

“When Amtrak sees a challenge, a fiscal challenge, they get out their axe,” Stair said. “They do not look beyond the cost-cutting model for improving their service. That is what we are seeing here. That is a culture that started in 1971. These long distance routes consist of multiple corridors. People ride from Kansas City to Albuquerque. … That is a good thing. The train is being used for multiple transportation purposes.”

According to the American Railroad Association, positive train control is an electronic system designed to automatically stop a train before certain types of accidents occur. In particular, PTC is designed to prevent train-to-train collisions; derailments caused by excessive train speed;and train movements through misaligned track switches.

There is not Positive Train Control from Dodge City to Las Animas, Colorado, a spot just short of La Junta, Colorado. PTC is also not available from LaJunta to Albuquerque.

The Chief faced a similar problem in 2015 when there was not PTC available in Kansas City. At that time, Amtrak was able to come to an agreement with rail owners in Kansas City to get PTC installed. It is the host railroad’s responsibility to install PTC.

“Amtrak is now weaponizing Positive Train Control,” Stair said. “They are using this as an excuse to take more federal dollars and move them to the northeast corridor — the Boston to Washington D.C. segment — and force the states to pay more for services that are historically federally funded.”

The Southwest Chief operates on two host railroads — the BNSF and the New Mexico Rail Runner, owned by the New Mexico Department of Transportation.

Over the past few years communities have been able to get federal grants to improve sections of the rail.

“Newton, as well as a lot of other communities on the route — these are small communities that depend on this service as their primary transportation to connect to other outside locations — all put money into this effort to preserve and improve the rail from Newton all the way to La Junta, and now we just abandon that,” said Barth Hague, a county commissioner who has worked on rail issues. “It feels like an afront to all those communities that have fought to preserve this service in good faith with Amtrak. Now they are willing to scuttle that?”

Over the course of the past five years TIGER grant funds have been poured into the Southwest Chief route for rail improvements. In 2014 the Kansas Department of Transportation pumped $3 million into a grant, matched by $2 million for the BNSF, $4 million from Amtrak, $300,000 from municipalities and $9.3 million from the federal government to improved tracks in western Kansas.

A year later, KDOT committed $1 million, Colorado $1 million, New Mexico $1 million, Amtrak $4 million the feds $9.2 million to make improvements in Colorado and new Mexico In 2017 Colfax County, New Mexico, put forward a grant application for improvements in New Mexico following an unsuccessful grant application in 2016. For the 2017 application, which would be a total of $25 million from all sources, to be completed a comprehensive plan is needed for maintenance. That plan has not, according to Amtrak, been received.

 

Evan Stair is an Oklahoma based advocate who has worked for many years to bring passenger rail ot Okalhoma and Kansas, including extension of the Heartland Flyer to Kansas, and service between Oklahome City and Tulsa, OK.