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A possible new direction for Amtrak Long Distance
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<p>[quote user="John WR"]</p> <p>Thank you for the link to this interesting report, Carnej. I can understand NARP's consternation, especially with this kind of conclusion: " The elimination of sleeper service alone, without the elimination of any associated food service or other amenity, produces a <span style="text-decoration:underline;">net loss</span> on an operating cost basis under assumptions B and C on most routes." (Emphasis added.) </p> <p>Actually, this report is not about eliminating sleeping car service. Almost all of the loss is attributed to the <span style="text-decoration:underline;">dining car</span>. It seems to me there is a simpler solution. Charge sleeping car passengers for meals just as coach passengers are charged for meals. According to the report, that would cover almost all of the loss. </p> <p>In 2005 President George W. Bush did oppose Amtrak and wanted to eliminate all subsidy for it. That would have driven Amtrak into bankruptcy. However, by October, 2008 President Bush had revised his position. <strong>The Wall Street Journal</strong> reported he signed legislation that doubled the Amtrak subsidy. Here is the link: http://online.wsj.com/article/SB122298615110699903.html [/quote]</p> <p>Technically Amtrak has been insolvent since near the get go. It is a ward of the state; it cannot be driven into bankruptcy. It can, however, have its funding withdrawn or decreased,in which case most of its operations would have to be discontinued.</p>
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