Amtrak

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Amtrak
Amtrak
Derailed By Joseph Vranich Presentation by
Michael Gross
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History

• Since the beginning rail passenger service has
  been operated by private companies.
• 1950s declining rail passenger service from
  competition automobiles and airplanes.
• Final blow came in 1967 when US post office gave
  contracts for 1st class mail service to airplanes
  and trucks.
• NRPC created to lobby for national passenger
  train service.

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The Beginning

• On Oct. 14 1970 Congress passed NRPC.
• On May 1, 1971 Amtrak (American Travel by Track)
  was born.
• 440 passenger trains running on April 30, 1971 to
  184 passenger trains running on May 1, 1971 under
  Amtrak.

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Problems with Amtrak

• Has never been able to earn a profit.
• 7.5 billion dollars in subsidies.
• Service is terrible.
• Slow and late trains. (handout)
• Trains leaving at odd hours.
• Ludicrous layovers.
• Poor conditions on trains.
• Rodents on trains.
• No food or beverage service on its most popular
  route.
• http//search.csmonitor.com/specials/amtrak/index.
  html

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Structural Failure

• Divided Authority
• Public or Private entity.
• Perverse Incentives.
• Establish train routes for senators and
  employees.
• Questionable Personnel Selection
• Use of Freight services.
• Poorly designed processes.
• Slow trains are result of poor infrastructure and
  padding of schedule.

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Institutionalization

• Works to maintain monopoly on passenger service
  by rubbing out competition.
• Priority 1 as maintaining processes.
• Incrementalists rail projects loose touch w/
  reality.
• Federal Employers Liability Act.
• Lower proof than worker compensation.
• Railway Labor Act.
• Severance Pay for 6 years.

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Dismantle Amtrak

• The nationalized Amtrak system is unable to
  provide the kind of train transportation that
  America needs at a price it can afford.
• End long distance train service
• End the monopoly.
• Allow independent high speed rail projects to
  take place.

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Late train results in tense standoffThe late
operation of Amtrak's northbound 1300 has
prompted disgruntled passengers to seize the
train. The Heartache Flyer has been parked on a
siding outside Norman, Oklahoma since December
28. Dispatchers refused to give it priority over
freights on the busy single-track line. After
sitting for over 72 hours, tired passengers on
the all-coach train commandeered the baggage cars
and converted them into makeshift dormitories.
The scene is now littered with clotheslines and
other signs of domestic life. Negotiators have
been called in.