NM Senator Udall's Response

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Joined
Aug 23, 2002
Messages
2,973
Location
southern Idaho
Both of my NM senators responded to my e-mail. One left to go- President Bush which I highly doubt that he or one of his aides will respond. Here is it:

March 8, 2005

Dear Mr. Swager:

Thank you for contacting me to share your concerns regarding

Amtrak. I appreciate hearing from you on this important issue.

Amtrak was created in 1970, and began operations in 1971, to

relieve railroad companies of their money-losing passenger operations

while maintaining passenger rail service in the United States. Under

Amtrak, passenger rail service has continued to provide intercity

transportation throughout the country. I believe Amtrak provides an

important public service, especially in rural areas where other forms of

transportation are not as prevalent. Amtrak provides an alternative to air

travel and reduces the need to drive long distances, allowing for a

reduction in fossil fuel use. Also, Amtrak uses routes that travel through

New Mexico, so it is important to our state.

Unfortunately, Amtrak has been an unprofitable venture, a fact

true for intercity passenger rail throughout the world. Amtrak earns over

$2 billion a year, but spends nearly $3 billion a year, producing operating

deficits of around $900 million annually. In addition, it has

approximately $3 billion in long-term debt and capital lease obligations,

and nearly $6 billion in capital maintenance work backlogged. In recent

years, many, including several Members of Congress, have called for

reform to the overall operations and expenditures of Amtrak.

The Amtrak Reform Council's restructuring plan, submitted to

Congress in 2002, recommended separating Amtrak into three

components - operations, infrastructure, and policy planning - and

increasing federal capital spending on passenger rail. It also encouraged

the idea of introducing competition by franchising the operation of trains

and Northeast Corridor maintenance through competitive bidding. While

I believe reform is necessary to restructure Amtrak and to ensure its

continued passenger service, I am also concerned that the funding being

proposed does not properly acknowledge the immense cost of such

reform.

In his Fiscal Year 2006 (FY06) federal budget, President Bush

has requested no funding for Amtrak, a move likely to force the entity

into bankruptcy. Unfortunately, this assault on Amtrak

demonstrates that the Administration has no real plan for

reforming the railroad other than a vain attempt to undermine it.

However, last year, Congress budgeted more for Amtrak than the

President requested. I am hopeful this will be the case again this

year. Amtrak has requested from Congress $1.8 billion in federal

money in FY06, and has constructed an operating plan by which it could

function with $1.2 billion, the same amount it received in both FY04 and

FY05. Currently, the budget is being debated in both the House and

Senate. Please be assured that I will continue to work to ensure the

future durability of Amtrak.

Thank you again for sharing your thoughts with me. Please feel free to

contact me again with comments on any federal issue. You may visit my

website at www.tomudall.house.gov for more information.

Very Truly Yours,

Tom Udall

Member of Congress
 
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