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Saving the Hoosier State, Again: An Illustration of Federal and State Policy Conflict
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<p>[quote user="V.Payne"]</p> <p>For starters, provide daily common carrier service to the three other communities that would loose service where none is provided by buses. </p> <p>But the real arguement that this post started out with is the degree to which this service coud be radically improved at low cost. Greater cost for sure but more revenue as well and more passenger miles. Sander's book talks about a 4:15 runtime on this route back after some small line upgrades were made. Greyhound, offers 3:10 to 3:45 (with one stop) run times to downtown Chicago.</p> <p>I have a hard time believing that 4:00 even couldn't happen once the Chicago upgrades are done and with some minimal upgrades elsewhere. That would give you a 6:30 departure from Indianapolis for a 9:30 arrival into Chicago, perfect for business. Add a suburban Indianapolis stop, make the train 7 coaches and a cafe and watch the ridership triple at little additional operating cost. The operating loss would drop to less than the financial cost to governments of automobile accidents, which is where the rides would come from mostly. [/quote]</p> <p>The numbers you presented from the PRIIA study, which are now more than four years old, show an average loss per passenger mile of 29.3 cents for a daily Cardinal/Hoosier State. This compares to a FY12 average loss of 9.3 cents per passenger mile for the State Supported and Other Short Distance Corridor Trains.</p> <p>In FY12 four of the State Supported and Other Short Distance Corridor Trains carried fewer than 100,000 passengers. They were the Heartland Flyer, Vermonter, Ethan Allen Express, and the Hoosier State. All four trains should be dropped; buses would be a better alternative. In fact, as noted, the average Hoosier State passenger load could be fitted quite nicely on a couple of buses. </p> <p>The FY12 numbers, which are before any depreciation and interest, are audited. The numbers presented in the PRIIA studies, which were generated by Amtrak and, as far as I can tell, were not independently audited, are untested forecasts. If the PRIIA studies were as compelling as some readers believe, how come the recommendations have not been implemented. Is it because they are not very compelling?</p> <p>In 2012 the Cardinal had an operating loss of 36.1 cents per passenger mile whilst the Hoosier State lost 67.5 cents per passenger mile in 2012. These numbers are before depreciation and interest. The Cardinal was the second worst financial performer amongst the long distance trains, and the Hoosier State was the worst of the worst in its class.</p> <p>To catch a 6:30 a.m. train, unless one lives close to the station, means getting up between 4:30 a.m. and 5:00 a.m. Moreover, coming back on the current train schedule means an 11:50 p.m. arrival in Indianapolis. I spent 40 years with Fortune 250 corporations. I don't know many serious business people who would buy into this arrangement. </p> <p>If the Hoosier State was discontinued, those with a strong desire to take the train could still ride the Cardinal.</p>
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