PNWRMNM Brian_Tampa One important item, without LD trains Amtrak cannot maintain NEC operations in the long term. Amtrak needs the ability to spread the costs of certain shared assets such as the reservation system over all trains, LD, corridor, and NEC. This statement is simply not true. Operating the reservation system is entirely a variable cost. The fixed cost portion, the computer and the programming is sunk, that is already paid for. In addition the entire function could be outsourced to any of dozens, if not hundreds, of call center operators. Off the top of my head I can not think of any significant fixed cost assests that are shared across the lines of business. As to cars, the NEC would simply keep what it wanted and the rest would be sold off. Diesel locos would probably go to scrap. Corporate overhead below the Presidential level would be cut since corporate "services" for LD and corridor would no longer be requred. If ATK is not that ignorant maybe they think congress is, and they could be correct in that. Mac
Brian_Tampa One important item, without LD trains Amtrak cannot maintain NEC operations in the long term. Amtrak needs the ability to spread the costs of certain shared assets such as the reservation system over all trains, LD, corridor, and NEC.
One important item, without LD trains Amtrak cannot maintain NEC operations in the long term. Amtrak needs the ability to spread the costs of certain shared assets such as the reservation system over all trains, LD, corridor, and NEC.
This statement is simply not true. Operating the reservation system is entirely a variable cost. The fixed cost portion, the computer and the programming is sunk, that is already paid for. In addition the entire function could be outsourced to any of dozens, if not hundreds, of call center operators.
Off the top of my head I can not think of any significant fixed cost assests that are shared across the lines of business. As to cars, the NEC would simply keep what it wanted and the rest would be sold off. Diesel locos would probably go to scrap.
Corporate overhead below the Presidential level would be cut since corporate "services" for LD and corridor would no longer be requred. If ATK is not that ignorant maybe they think congress is, and they could be correct in that.
Mac
Mac: You are right about that. Also, Moorman claimed 60% of ridership on Amtrak was "National" whatever that is. The statement appears to be misleading, by combining state-supported corridors with LD routes.
C&NW, CA&E, MILW, CGW and IC fan
It not a good day for amtrak on the hill or at the White House.
I did not watch the hearing. Was it Good Day for Amtrak?? on the hill?
https://transportation.house.gov/calendar/eventsingle.aspx?EventID=401565
https://youtu.be/_CDq2bQ1H3A
First link is for the written statements of the witnesses. Second link is to the video of the long 3 and half hour hearing.
I watched most of it live earlier. Lots of interesting details about the NEC projects, Amtrak LD, CA HSR, and Brightline. One important item, without LD trains Amtrak cannot maintain NEC operations in the long term. Amtrak needs the ability to spread the costs of certain shared assets such as the reservation system over all trains, LD, corridor, and NEC.
Brightline/AAF stressed the issue of the length of time required to obtain permits and approvals and how they impact the ability to obtain financing/investors.
CHSRA leader Dan Richard got grilled by fellow Californian Denham throughout the hearing.
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