>>Rep. Mica continues his plan to privatize the NEC, but agrees to a more cooperative approach. Despite Mica's criticism, Amtrak should remain a partner on the NEC.
Last Thursday, Streetsblog Capitol Hill reported that Rep. John Mica (R-FL) will continue to push his bill to privatize the Northeast Corridor.
In June, Mica, Chairman of the House Transportation & Infrastructure Committee, introduced legislation that would transfer ownership of the NEC from Amtrak to the government and invite private investors to bid for the opportunity to develop and operate HSR in the Northeast. Under the legislation, once private investors are chosen, Amtrak would be removed from operating on the NEC.
While the Legislation has some good ideas, like creating a new regional entity to manage the NEC, it's clear that the bill would fail to create HSR in the Northeast. The key problem is that it fails to assure potential investors that the federal government would be willing to make a significant contribution toward the project. No successful HSR system has been constructed without a strong, upfront commitment by the public sector.
Cooperation
In a meeting on Wednesday with members of the U.S. High Speed Rail Association, Mica and his staffer stated that the bill was still very much alive, but agreed to take a more cooperative approach.
One key issue was the issue of Amtrak's debt. According to Streetsblog:
A member of [Mica's] staff said that the original plan was being portrayed as transferring Amtrak's assets away from it, while leaving Amtrak holding the bag on the debt. "Which, when you put it that way, does sound sort of unfair," the staffer said, indicating that issues like those are being worked out.
Mica continued to push for private sector involvement, but argued that players on all sides of the issue were gaining consensus:
Mica asserted that the involvement of the private sector is "non-negotiable" - which Amtrak itself would agree with, as it's already seeking private sector partners. Mica gave Amtrak CEO Joseph Boardman credit for being on board. "Boardman sees that you cannot [upgrade the NEC to high speeds] - at least in his lifetime - under the current proposal," Mica said. He also said Transportation Secretary Ray LaHood is "willing to negotiate."
Indeed, Amtrak has quietly begun to invite private sector participation. Last spring Amtrak issued a Request For Proposals, inviting the private sector to submit proposals to develop a business plan with Amtrak for the construction and operation of HSR on the NEC. Amtrak has not yet commented on the proposals, which were due in June.
Still, it's clear that Mica and Amtrak do not see eye-to-eye on the plans for the NEC. While Mica's plan would remove Amtrak from the NEC altogether, the national railroad corporation argues that it has valuable expertise that makes it an essential partner in the development of any HSR operation in the Northeast.
At this point in time, Amtrak is right. Since HSR is still many years away, Amtrak must continue to play a leadership role on the NEC and pursue its long-developed plans for improving the existing rail service. To remove Amtrak from the NEC without a well-developed plan and a proven, competent alternative would be a mistake.
Slowing down conventional rail?
While they continue to push for HSR on the NEC, Mica's staff had potentially bad news for projects at slower speeds. According to Streetsblog:
[Mica's] staffer also stated that the committee was giving inter-city and passenger rail "a temporary rest" while it focuses exclusively on high-speed rail. "It does not serve the two programs well to be 'smooshed,' or put together and consolidated the way they have been and then have most of the projects that receive funding not be high-speed rail in any way, shape, or form."
As projects like the Acela have shown, modest improvements can have a dramatic impact on rail service and expanding ridership. There are many valuable projects on the NEC and its key branch lines in Pennsylvania, New York, and Connecticut, that likely would not result in high-speed service under Mica's definition. It is unclear if these projects would qualify for federal support under Mica's proposed legislation.
Images
Amtrak train in Paoli, PA. Licensed under Creative Commons. Flickr User jpmueller99.
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