Railway Legislation Advances in House [wsj]
By CHRISTOPHER CONKEY
May 23, 2008; Page A2
WASHINGTON -- Legislation boosting funds for the nation's passenger rail system advanced in the House amid concerns over high oil prices, transportation gridlock and global warming.
The House Transportation and Infrastructure Committee approved a bill that would provide $14.4 billion over five years to bolster Amtrak's finances and encourage states to expand train service. If passed, the proposal would increase annual spending on Amtrak to about $2 billion a year from roughly $1.3 billion.
It is unclear when a full House vote may come. The bill's prospects appear to be strong since it enjoys the support of the committee's Democratic and Republican leaders. The Senate passed its version of the bill last year.
[Question of the Day] QUESTION OF THE DAY
Should the U.S. government invest more money in the passenger rail system?
With oil prices surging, congestion mounting and environmental concerns escalating, lawmakers are increasingly looking to rail service as a transportation fix. Amtrak ridership from January through April is up 5% from the same period a year ago. Ticket revenue for the first four months of 2008 is up 13.6% from same period last year.
"One way to address road and air congestion is by expanding our passenger rail system," said Rep. Bill Shuster, (R., Pa.), the ranking Republican on the House railroads subcommittee. Rep. James Oberstar (D., Minn.), chairman of the transportation committee, called the vote a historic milestone. "We ought to at least do in America what has been done in France to promote passenger rail service," he said.
The slow-moving U.S. rail network pales in comparison to the popular high-speed routes in Europe and East Asia. But hints of change are emerging. California is poised to vote on a ballot measure this fall that would steer over $9 billion toward the development of a high-speed route stretching from Sacramento to San Diego. Several Midwestern states have teamed up in the Midwest Regional Rail Initiative, which aims to speed up service times between Chicago and cities such as Detroit, Cincinnati and St. Louis.
The federal bill that advanced in the House Thursday would provide nearly $1.8 billion in grants to develop rail corridors between cities where trains can travel up to 110 miles per hour.
Another provision of the bill, championed by Rep. John Mica (R., Fla.), would have the Transportation Department solicit proposals for high-speed service along the heavily traveled and densely populated New York to Washington, D.C., route.
Mr. Mica's goal is to offer consumers a rail option that would connect the cities in two hours. It takes 2 hours and 45 minutes for Amtrak's fastest train, the Acela Express, to cover that distance.
The House bill would provide an immediate injection of funds that would allow the government-backed rail corporation to speed up maintenance work and new capital projects.
Amtrak gets about $500 million annually in capital grants and $475 million in operating subsidies, Mr. Black said. The House bill authorizes $840 million annually for capital needs and $606 million for operating purposes.
"We're very encouraged," said Amtrak spokesman Cliff Black. "It appears there's growing recognition that the time for expansion in passenger rail has come."
The new funds would also help Amtrak meet employee pay hikes agreed to in a recent round of labor agreements.
The House bill would set up a $2.5 billion matching-grant system designed to get states to expand passenger rail service, similar to ones used for highway and transit projects. The federal government would pay 80% of the grants, while states would kick in the remainder. |
