Amtrak in a New Era
Frances Bourne
Director, Intergovernmental Relations
April 7, 2010
Amtrak at a glance
1
A major Federal mandate: PRIIA
• Passenger Rail Investment and Improvement Act of 2008
• Creates a Federal matching program for capital investment programs
– Amtrak and the states will work in partnership to establish new/improved
passenger services
- Federal government will provide capital funding
- States will provide operating funding
• Administration’s Vision for High-Speed Rail and Draft National Rail Plan
envision a pattern of incremental development
– Higher-speed service
– On existing lines
– Incremental process of investment and improvement
– Public investment must produce commensurate public benefit
Some major challenges – but even bigger opportunities!
2
PRIIA is a blueprint for a new era
– Clear vision for Amtrak and intercity passenger rail within the national
transportation scheme
– Establishes a new partnership between Federal government (DOT and
Amtrak), states, and host railroads:
ƒ States plan rail service, US DOT integrates state plans
ƒFederal government provides capital funding, states provide operating
funding for new services
ƒ Amtrak operates national network, helps design and operate new
corridor services
– PRIIA grant programs to develop high speed and intercity passenger rail
have been funded at about $10.6 billion
- $8 billion in stimulus funding
- $2.5 billion in FY 10 appropriation
- $90 million is available from FY 09 appropriation
- About $1.9 million in FY 08 appropriation funding is still available
3
Evolving into our New Roles – State and Federal partners
• States will be lead partners
– Create rail plans
– Function as federal grant recipient
– Provide operating funding and capital match
for short distance Amtrak services
- Under PRIIA, Amtrak must treat short
distance routes uniformly
- States who do not fund their routes
today must begin to do so by October 16,
2013
• FRA leads national policy
– National rail plan
Amtrak’s Illinois Zephyr
– Safety and performance standards
– Administers grant program
– Facilitates among partners – states, Amtrak, freights
4
Evolving into our New Roles - Amtrak
• Amtrak facilitates intercity rail operations and development
– Operator of the national network
- Only company in America with global view of rail network
- Longstanding relationships with all major Class Is
- Only high speed intercity provider in North America
- Only company that operates passenger trains over every major
U.S. railroad
- All track approved for 110+ mph service in North America
maintained by Amtrak
– Planning services for states
- Familiar with stringent Federal regulatory requirements
- Understand operating, engineering needs of HSR in America
- Can serve as liaison, coordinating node for multi-state
partnerships
– Service provider for 15 state-supported corridor services
– Trusted by hosts to operate safely
– Workforce possesses unparalleled qualifications and expertise
– Tactical planner of intercity passenger services
• Amtrak is focusing on supporting state development efforts and
emerging high speed corridors
5
State-supported rail services
6
Different approaches to high speed rail (HSR)
“The
“TheBig
BigBang”
Bang”
•• Substantial
Substantialtrip
triptime
timeimprovement
improvement
––May
Mayrequire
requirevery
veryhigh
highsustained
sustained
speeds,
e.g.,
150+
mph
speeds, e.g., 150+ mph
•• Tremendous
Tremendouscapital
capitalcost
cost
––More
Morelikely
likelytotorequire
requirededicated
dedicated
ROW
ROW
•• Extensive
Extensivecondemnations
condemnationsand
and
community
impacts
community impacts
“Incremental
“IncrementalImprovement”
Improvement”
•• Produces
Producesaastring
stringof
ofsmall
smalltrip
trip
time
timeimprovements
improvements
––Over
Overtime,
time,these
theseaccumulate
accumulate
––Can
Canbegin
beginquickly
quickly
––Build
Buildridership
ridershipand
andmarket
marketshare
share
as
you
go
as you go
•• Takes
Takesyears
years(sometimes
(sometimesdecades)
decades)
totorealize,
but
builds
large
realize, but builds largemarket
market
share
share
•• Lower
Lowercapital
capitalcosts
costs––but
butalso
also
fewer
fewerbig,
big,immediate
immediate
improvements,
improvements,less
lessmarket
market
excitement
excitement
•• Potentially
Potentiallyhigher
higheroperating
operating
revenues
revenues
•• Lower
Loweroperating
operatingrevenues
revenues
Amtrak has the expertise to make both approaches work – so let’s take a look at them
7
A quick comparison
Amtrak Keystone
Corridor Improvements
(2006)
Madrid-Valladolid high
speed line (Dec 2007)
Route
104 mile line (PhiladelphiaHarrisburg)
111 mile line (MadridValladolid)
Scope of improvements
Restored electrification,
improved track and signals
for 110 mph service
Constructed dedicated
ROW for 186 mph service,
including a 28 km tunnel
Intermediate stops
10 intermediate stops,
shared ROW with Norfolk
Southern and SEPTA
1 intermediate stop
Trip time improvement
Harrisburg-Philly trip cut
from 1:50 to 1:35
Trip time cut from 1:30 to
55 minutes
Annual Ridership
1,183,821 riders in FY 08
825,043 riders in 2008
$145 million
$5.9 billion
Program cost
Segovia-Guiomar station
Harrisburg station
8
Alberto Saviejo photo
How well does an incremental approach work?
~100mph
mphinin1976
1976(on
(onaagood
goodday)
day)
• •~100
125mph
mphinin1980s
1980son
onSouth
SouthEnd
End
• •125
135-150mph
mphinin2000
2000
• •135-150
Marketshare
shareisisaaproduct
productof
oftrip
triptime
time––but
butalso
also
• •Market
frequency,convenience,
convenience,comfort
comfortand
andreliability
reliability
frequency,
Washington to New York Air-Rail Market
100%
Air-Rail Market Share
NortheastCorridor
Corridorservices
servicesare
areaaproduct
productof
of
• •Northeast
incrementaldevelopment:
development:
incremental
80%
60%
Air
40%
56% 50% 50% 51% 55% 56% 63% 61%
20% 37% 45%
Rail
0%
2000
2001 2002
2003
2004
2005 2006
2007
2008 2009
Fiscal Year
•Amtrakisisthe
theonly
onlycompany
companyininthe
theWestern
Western
•Amtrak
Hemispherethat
thathas
hasdesigned,
designed,built,
built,operates
operates
Hemisphere
andmaintains
maintainsaahigh-speed
high-speedrailroad
railroad
and
Acela service introduced
New York to Boston Air-Rail Market
Air-Rail Market Share
100%
80%
60%
Air
40%
20%
50%
41% 35% 39% 38% 36% 41% 49%
27%
20%
Rail
0%
2000
2001 2002 2003
2004
2005 2006
2007
2008 2009
Fiscal Year
Acela service, electrification, and
125 mph Regional service introduced
Corridor services like this offer tremendous
benefits and growth opportunities
9
Realizing a dedicated high speed route
• Amtrak is seeking to operate any major dedicated HSR project, if funding and
support are available
• We have the experience needed for an HSR project
– Electrified services
– Operations
– Maintenance
– Planning and engineering
• Would envision ourselves working with other partners
– Amtrak’s principal interest is operational
– We bring planning skills, experience, and support networks such as reservation systems
– Our workforce is a tremendous asset – largest collection of talented, skilled railroad
workers with high speed experience in North America, existing collective bargaining
agreements, and strong partnership with labor organizations
– Interconnectivity is important – will need to integrate new and existing services
• Some proposed high speed routes include Desert Xpress, California and Florida
HSR projects
– Must be integrated with national system
– Amtrak’s access rights apply nationwide – not just to existing system and routes
10
The way ahead
• Amtrak supports the Administration’s commitment to a
program of incremental development, while advancing the
next generation of high speed services, where possible
• Amtrak’s role is vital – we are the national railroad, and an
instrument of Federal policy to deliver passenger service
across the country
– Longstanding relationships with host railroads
– Planning capabilities in great demand
– Unparalleled experience with planning and operating of passenger
service under American conditions
- Regulatory requirements
– “Software” for service – experience, people, skillsets, existing
systems
• Collaboration between states, US DOT, Amtrak, hosts,
suppliers, and others key to success
• Equipment and station investment are vital needs – and must
be addressed in coming years
• Need for sustainable funding source at both Federal and
State level for high-speed and intercity passenger rail,
including Amtrak
11