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CED-79-3 1 (1978-11-27)

handle is hein.gao/gaobaayjf0001 and id is 1 raw text is: DOCUMENT RESUME 08179 - (C33284171 Should AMTRAK's Highly Unprofitable Routes Be Discountinued? CEr-79-3; B-175155. November 27, 1976. 21 pp. + 2 appendices (2 pp.). Report to Sen. Birch Bayh, Chairman, Senate Committee on Appropriations: Transportation Subccmmittee; Sen. Russell B. Long, Chairman, Senate Committee on Comerce, Science, and Transportation: Surface Transportation Sutcommittee; Rep. John J. McFall, Chairman, House Committee on Appropriations: Transportation Subcommittee; Rep. Fred B. Rooney, Chairman, House Committee on Interstate and Foreign Ccmmerce: Transportation and Commerce Subcommittee; by Elmer B. Staats, Comptroller General. Issue Area: Transportation Systems and Pclicies: Intercity Rail Passenger Service (2412). Contact: Community and Economic Development Div. Budget Function: Commerce and Transpcrtation: Ground Transportation (404). Organization Concerned: Department cf Transportation; Department of Commerce; National Railroad Passenger Ccrp. Congressional Relevance: House Committee on Appropriations: Transportation Subcommittee; House Committee on Interstate and Foreign Commerce: Transportation and Ccaerce Subcommittee; Senate Committee on Commere,, Science, and Transportation: Surface Transportation Subcommittee. Rep. John J. McFall; Rep. Fred B. Rocney; Sen. Eirch Bayb; Sen. Russell B. Long. Authority: Amtrak Improvement Act of 1974 (45 U.S.C. 644). Rail Passenger Service Act of 1970 (P.L. 31-518 . Amtrak Improvement Act of 1975 (P.L. 94-25). Amtrak Improvement Act of 1978 (P.L. 95-421). After operating for 4 years as a quasi-putlic, for-profit entity, the National Railroad Passenger Corporation (Amtrak) could point to improvements in the following operations: reservatiors and ticketirg, equipment reliability and availability, ontime performance, cnboard services, and corporate planning and programing for the future. Nevertleless, the upward trend of its losses and the required Federal operatinq subsidy greatly ccncerned Amtrak, the Department of Transportation (DOT) , and the Congress. According to Amtrak, inczeased operating deficits are due to increased services, ownership costs of new equipment, takeover of the Northeast corridor, and inflation. Findings/Conclusions: In fiscal year 1977, no Amtrak routes made a profit. a review of 11 routes showed that operating losses were high despite route improvements such as adding new equipment and changing schedules to improve ontime performance. Increased ridership .ione would not eliminate these los.3es. More riders would improve fuel efficiency on some routus, but on others, rideo.ship would have

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