Date: 1989-08-03
Speaker: THOMAS A. LUKEN (democrat)
Chamber: S

Mr. Chairman. it is odd that the gentleman should pick this timing for this amendment in view of the fact. as has overwhelmingly been testified to by other Members. Amtrak is a success story today. This amendment in the past has been rejected overwhelmingly. and properly so. Between the end points of New York and Washington. Amtrak handled over 4.200 of the 11.600 daily New York to Washington air and rail passengers. Where would we find the airspace if we got rid of Amtrak? Where would we find the air space if we got rid of Amtrak? It would be impossible. It would be bad for safety. It would certainly be very harmful to the needs of the passengers in that Northeast corridor. Today. Amtrak provides a nationwide system of passenger service over 24.000 miles of track. Last year. Amtrak carried over 21 million intercity passengers. and 14 million commuter passengers. Over the years. Amtrak has demonstrated sure and steady progress in reducing costs and increasing revenues. As has already been stated. in 1981. Amtrak paid 48 percent of their own costs. That trend is up. By 1988 Amtrak earned more than $1.1 billion in revenues and paid 70 percent of their own costs. At the same time. Amtrak carried a record number of passengers. 21 million. In summary. Amtrak is carrying more passengers. earning more revenue. and requiring a smaller proportion of Federal subsidies than ever before. Over the last 8 years. the Federal subsidies have been cut in half. This is in real -dollars and constant dollars. In 1981. $900 million. in 1989. it is down to approximately $430 million. We are moving toward a balanced budget here. The fact is. eliminating funding for Amtrak would do other things that have not been mentioned: It would throw the railroad into bankruptcy and force the immediate discontinuance of all passenger rail service in the United States. all passenger rail service in the United States. and traumatic implications for transportation in this country. especially for Amtraks 23.000 employees. and for the taxpayer. Other consequences: In addition to 23.000 employees who wovld lose their Jobs. it would have a catastrophic impact on Federal railroad unemployment and retirement programs. resulting in a significantly increased cost to freight and commuter railroads or to the Federal Government. Elimination would result in enormous capital waste. Approximately $3.3 billion in modern passenger locomotives. other equipment. and specialized maintenance shops would have to be scrapped. There would simply be no market for these assets. If the operations are eliminated. thousands of passengers who now use the rail between New York. Washington. and other places would have to use the airlines. A 36percent increase in air passengers would occur. Yes. Amtrak is a success story. Amtrak is moving in the right direction. This is the time to congratulate Graham Claytor. a competent. expert railroad person who has brought Amtrak to this point. and is continuing. as the Committee on Appropriations would testify. and as our committee. the Committee on Energy and Commerce would testify. it is moving in the right direction. We should keep it moving that way.