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Another milestone: Major funding announced for Gulf Coast passenger rail

Map showing the stops of the restored route from New Orleans to Mobile, making stops in Bay St. Louis, Gulfport, Biloxi, and Pascagoula along the way.

Earlier this week, the Federal Railroad Administration announced a significant investment of $21,117,115 in Restoration and Enhancement (R&E) grant funding to Amtrak. This funding will support the restoration of intercity passenger rail service with two daily roundtrips along the Gulf Coast, connecting New Orleans, LA, to Mobile, AL.

We want to share special thanks to Mississippi Senator Roger Wicker and his dedicated staff, who have championed the establishment of the R&E program and the return of passenger rail in the Gulf Coast for more than a decade. This milestone would not be possible without their continued commitment to passenger rail service restoration and expansion along the Gulf Coast.

In recognition of recent progress for passenger service in the Coastal South, we released a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network. Read part one on the history of passenger rail, part two on building momentum for change, part three on converting support into action, and part four on next steps for a national network.

Transportation for America supports the Southern Rail Commission to champion the efforts to return service in the Gulf Coast and across the Deep South.

Another hurdle cleared for passenger rail on the Gulf Coast

press release

Today, the Federal Railroad Administration, Amtrak, the Port of Mobile, CSX, and Norfolk Southern (NS) signed a $178 million grant agreement to fund necessary construction between Mobile and New Orleans, an important hurdle for passenger rail service to return to the Gulf Coast.

The signed agreement for a $178 million Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant is a critical step that represents 17 years of concerted efforts toward restoring passenger rail on the Gulf Coast after Hurricane Katrina. This agreement includes funding for station and rail infrastructure improvements along the route in Alabama, Mississippi, and Louisiana, all required for service to return.

“Every step towards the return of passenger rail is a victory for the people who call the Gulf Coast home,” said Transportation for America Chair John Robert Smith. “The past two decades of tireless efforts by the Southern Rail Commission and other champions have made it possible for service to come back even better than before, giving people more freedom to choose how they want to travel.”

This announcement coincides with a groundbreaking for passenger rail in Mobile, Alabama with Secretary of Transportation Pete Buttigieg and other federal leaders, where these funds will be used toward station siding and an ADA-compliant platform. The CRISI will fund station improvements in Mobile and New Orleans, safety improvements along the route, multimodal connection, and rail line improvements. Once these improvements are made, local leaders will be able to create safe routes and welcoming places for all travelers along the Gulf Coast. We look forward to the ultimate result of these efforts: the return of service.

Progress on the Gulf Coast would not have been possible without Senator Wicker’s leadership in creating CRISI and for his steadfast support for this project for the past decade. In addition, Senators Cochran and Hyde-Smith have dedicated invaluable time and resources to the restoration of service.

Transportation for America supports the Southern Rail Commission to champion the efforts to return service in the Gulf Coast and across the Deep South.

Press statement: Funding approved for the return of passenger rail in Mobile

press release

City councilmembers in Mobile, Alabama have removed a barrier to passenger rail’s return in the Coastal South.

Today, the City Council of Mobile, Alabama voted to advance the long-awaited return of passenger rail on the Gulf Coast by approving a long-term lease and funding agreements with Amtrak and the Alabama Port Authority.

“This is a victory not only for Mobile but for every city and small town served by this route,” said John Robert Smith, Chair of Transportation for America. “I applaud the City of Mobile for removing the final roadblock to the return of passenger rail service along the Gulf Coast. This victory will improve economic mobility, connect communities across the Deep South, and set an example for the expansion of passenger rail across the country.”

“Long seen as a bellwether, the return of service to the Gulf Coast has revealed what’s possible, building momentum for a national passenger rail network,” continued Smith.

“Finally, this would not be possible without the instrumental support and leadership of our partners from the Southern Rail Commission; the Surface Transportation Board, which secured a historic settlement agreement among CSX, Norfolk Southern, Amtrak, and the Port; and the Federal Railroad Administration, which not only supported the CRISI grant but provided strong support before the STB. Finally, we would be remiss without thanking Senator Roger Wicker, who has been a tireless champion of passenger rail along the Gulf Coast from the beginning.”

Operating funding for this route, which will span from New Orleans, LA to Mobile, AL was sent off course when Alabama Governor Kay Ivey opposed funding, requiring the City of Mobile to come up with the funds for this vital service. Through an agreement between the Alabama Port Authority, the State of Alabama, and the City Council, roughly $3 million in funding has now been promised to Amtrak for the next three years, marking essential progress for the return of service. These funds build upon a $178.4 million grant previously awarded by the Federal Railroad Administration.

This change would not be possible without strong partnerships, and collaboration will continue to be essential as Amtrak begins track upgrades and infrastructure improvements to pave the way for the return of service, which we hope to see begin as soon as possible.

Learn more about the history of passenger rail and the return of service to the Gulf Coast
In recognition of recent progress for passenger service in the Coastal South, we published a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network.

Read the series here >>

Full speed ahead: How federal leaders can keep building on passenger rail progress

An Amtrak train waits at a station

Passenger rail efforts in the Gulf Coast demonstrated tireless commitment to federal advocacy, funding development, and ultimately service implementation. But if our nation’s leaders are truly interested in advancing a national network, they can take action now to support future efforts.

In recognition of recent progress for passenger service in the Coastal South, we’re releasing a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network. This is part four of the series, written by Mehr Mukhtar and London Weier. Read part one, part two, and part three.

An Amtrak train waits at a station

In our last three blogs, we outlined the challenges and opportunities in the maintenance and expansion of passenger rail service in the country, with an emphasis on the story of recent achievements in the Gulf Coast. It’s clear that the 2021 federal infrastructure law (Infrastructure Investment and Jobs Act, or IIJA) unlocked a treasure trove of resources for advancing passenger rail in the United States, yet three years later, there’s still a great deal of progress to be made. This blog shares priorities for ensuring that we are making the most of this unlocked promise and possibility by creating a national vision for passenger rail.

National connectivity

Amtrak should continue to maintain and expand the connectivity and geographic coverage of the national network, as stipulated in the language of the IIJA. To ensure that the entire nation is served, both urban and rural, and judged by performance standards appropriate to the region served and type of service provided, the Northeast Corridor should not be treated as a separate entity to the entire national network.

Establish dedicated funding

Unlike public transit, aviation, and highways, passenger rail does not receive a dedicated source of revenue to build out its service. Instead, Amtrak relies on annual appropriations, which occur once each fiscal year. Our passenger rail network is living paycheck to paycheck, and that’s no way to invest in a long-term vision. In order to expand our network to its full potential, passenger rail needs to be treated as a service that has a future. Congress should set up a dedicated source of revenue for the development of passenger rail.

Encourage innovation

There are many private providers that, if given the opportunity, could lend their services and expertise to developing a robust passenger rail network. However, because Amtrak is the only passenger rail provider that can utilize the nation’s existing network of freight rail lines, it’s currently the only viable option to expand passenger rail across the country.

Extending the right-of-access to at least three providers would help spur innovation in passenger rail expansion, introducing new approaches, ideas, and competition. In addition, allowing freight or private providers to be eligible for federal funding for long distance service could further propel expansion.

Representation on the Amtrak Board of Directors

Amtrak’s existing board is not reflective of the geographic diversity of the communities across the nation that it serves or the types of service provided. An unrepresentative board prevents Amtrak from developing and advocating for strategic priorities that represent the interests of all of Amtrak’s users. The guidance laid out in the IIJA for representation on Amtrak’s board should be implemented and enforced.

Standardize the rail system

Right now, rail providers aren’t required to standardize their equipment, which means that any passenger rail network we create may require different equipment depending on the track design or power supply networks. This could lead to a disjointed rail network down the line, where only some trains are able to operate on certain tracks.

To ensure a streamlined customer experience and to make the most of taxpayer investments, equipment for conventional speed and high-speed rail should be standardized, as well as right-of-way infrastructure to ensure interoperability of the national system.

An upcoming opportunity

The 2021 infrastructure law is set to expire in 2026. At that point, our nation’s leaders will need to pass a new law, called the surface transportation reauthorization, to further enhance our nation’s transportation system. Reauthorization will present a monumental opportunity to reassert a consolidated vision for national passenger service. But we should be clear: there’s no need to wait. To make the most of the 2021 infrastructure law’s investments, our leaders can and should begin making progress on the priorities listed above right now.

From excitement to reality: Implementing passenger rail on the Gulf Coast

Passengers prepare to board an Amtrak train

Federal advocacy and allies were essential to turning local momentum for passenger rail from New Orleans to Mobile—set to reopen this very year—into a regional, and national, success story.

In recognition of recent progress for passenger service in the Coastal South, we’re releasing a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network. This is part three of the series, written by Mehr Mukhtar and London Weier. Read part one on the history of passenger rail, part two on building momentum for change, and part four on next steps for a national network.

Passengers prepare to board an Amtrak train
(Amtrak)

As we explained in our last article on passenger rail in the Gulf Coast, in 2017, the Federal Railroad Administration’s Gulf Coast Working Group (GCWG) established that the region needs passenger rail expansion, first from New Orleans to Mobile—a major step in growing the region’s rail network. However, the restoration process would require infrastructure and operations investment.

At this point, Transportation for America had assisted the Southern Rail Commission with a variety of projects, including the 2016 ride-along that showcased local excitement for the restored route, but T4A started to take on a larger role to develop funding avenues, which could support the work that would come out of the FRA working group’s report.

Policy developments and funding

The first steps for the SRC and T4A was to find their champions, those legislators that would work to develop and support policy that could fund passenger rail restoration in the Gulf Coast. Senator Roger Wicker, former Chair of the Senate Commerce Committee; Senator Maria Cantwell, former Ranking Member and current Chair of the Senate Commerce Committee; and former United States Representative Peter DeFazio were key supporters of various initiatives brought to attention by the SRC and T4A.

A key initiative of the Southern Rail Commission, spearheaded by Chairman Knox Ross and Vice Chair John Spain, was advocating for the creation of passenger rail funding avenues on the federal level. They argued that federal funding sources, when combined with local financial support, would help build a cohesive and unified approach to restoration. Out of these efforts came two federal grant programs, the Consolidated Rail Infrastructure and Safety Improvements (CRISI) program and the Restoration and Enhancement (R&E) program, which provided the Gulf Coast with the resources needed to turn two decades of advocacy into action. These wins are a perfect example of the nationwide impact Gulf Coast efforts have had, as these federal grant programs provide funding for passenger rail expansion across the country.

The CRISI grant program makes funding available for projects which improve safety, efficiency, and reliability of intercity passenger rail and freight rail. In 2022, the National Railroad Passenger Corporation (Amtrak) was awarded this grant for the final design and construction of infrastructure needs for the Gulf Coast Corridor Improvement Project. These funds illustrate an exciting new phase of passenger rail restoration in the Gulf Coast as the SRC, Amtrak, and FRA step into the implementation phase. Additionally, funds matched by the state governments of Mississippi, Louisiana, Alabama in addition to matches provided by freight rail corporations CSX Transportation and Norfolk Southern Railway exemplify successful efforts to unify local, regional, and federal rail actors behind the project.

On the other hand, the Restoration and Enhancement (R&E) grant would aid in operations support. These funding opportunities not only provide the necessary resources to complete the New Orleans to Mobile train; they also provide the entire nation with an opportunity to implement rail restoration.

These successes led to a broad recognition of the need for rail compacts, not only in the Gulf Coast Region, but across the nation. The SRC had successfully advocated for funding avenues and seen initiatives across the Gulf Coast awarded funding for project implementation. Rail compacts were born out of the recognition that a cohesive and unified approach to implementing policy and funding mechanisms was required to develop intercity passenger rail services, as proven by the SRC’s efforts. The Interstate Rail Compacts grant program was created to provide financial assistance to support the activities of entities implementing rail compacts for the purpose of unifying governments along a corridor. This served as a valuable coordination tactic for aligning stakeholders to further the development of passenger rail in a given area.

Once an institution is created to help develop, guide, and oversee a passenger rail vision, it will need support to create an implementation strategy. The FRA created the Corridor Identification and Development Program (CIDP) to direct federal investments and technical assistance towards priority rail corridors for new or improved intercity passenger rail services. This collaboration would help develop corridors that are desired by local communities and states, while also advancing passenger rail connectivity not only within their region but across the country. In December 2023, the FRA awarded the SRC $500,000 through this program to develop the I-20 passenger rail corridor, which would connect Shreveport, Ruston, and Monroe to Dallas, Texas. The commitment of funds towards developing passenger rail service reflects the interest of the FRA in continuing to invest in the future of passenger rail in the Gulf Coast region, and nationally.

A notable characteristic of the CIDP is the desire to highlight what communities find valuable, rather than solely rely on a national vision to develop new routes.

Mobile and Amtrak negotiations

Aligning state and local support for implementation was a crucial aspect of revitalizing passenger rail service, as funding is hinged on subsidies from the states. The states of Louisiana and Mississippi both agreed to supply the match required for a federal grant covering operating assistance for six years in the project federal matching fund, while the state of Alabama opted out of picking up the costs. This shifted the responsibility of providing a match for the project to the city of Mobile, leaving confirmed funding sources for Gulf Coast service hanging in the balance.

After a series of long negotiations lasting almost over a year between Amtrak and the Mobile City Council regarding an operations agreement and station site lease, a deal has been struck. Mobile’s funding obligation would be split equally between the city, the state of Alabama and the Alabama State Port Authority. Although the details of sustained operating funding is still to be ironed out, this represents significant progress and partnership between these entities in the realization of the Gulf Coast service.

The next stop

With service expected to begin at the end of the year, the creation of policy and funding vehicles for improving and expanding passenger rail services across the country has been a tremendous success.

The expansion of passenger rail on the Gulf Coast reflects the common challenges our nation faces when expanding non-car-centric infrastructure, yet it is also an example of how to right those wrongs. The road to passenger rail restoration in the Gulf Coast has been a long one, but rail service is soon to resume. At the heart of this story are shared efforts between the SRC, FRA, Amtrak, regional and local elected officials, and community leaders, which have culminated in a new path forward for passenger rail in the region. In our final blog in this series, we’ll share the final lessons we learned from the Gulf Coast.

Building momentum for a national passenger rail network

A crowd of people gathers by an Amtrak train, a U.S. flag waving above them.

After the setbacks of the late 90s and early 2000s, passenger rail advocates along the Gulf Coast were not discouraged. Through the work of a Regional Rail Commission and the cultivation of relationships with local, regional, and federal leaders, these advocates were able to build a foundation for the implementation of passenger rail restoration in the region.

In recognition of recent progress for passenger service in the Coastal South, we’re releasing a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network. This is part two of the series, written by Mehr Mukhtar and London Weier. Read part one, part three, and part four.

Hundreds of Gulfport, MS residents greet Amtrak representatives and local officials as the inspection train arrives Thursday, February 18, 2016. (Tim Meuller)

In our last article on passenger rail, we ended on the double blow caused by Hurricane Katrina coupled with years of consistent divestment away from passenger rail. The impacts of these years weren’t unique to the Gulf Coast, with the negative impacts of divestment away from passenger rail service being felt across the nation. Reversing these trends has taken consistent efforts from champions to build both momentum and support for passenger rail.

The Southern Rail Commission, T4A, and other champions built relationships, cultivated policy, and established a desire for funding to grow the presence of passenger rail in the region. While these efforts aren’t unique to the Gulf Coast, we can turn our attention to this corner of the nation as a strong example of how to address this multitude of challenges, even when the odds are stacked against you.

The creation of the Southern Rail Commission

Authorized by Congress in 1982 as the nation’s first Regional Rail Commission, the SRC was awarded a designation as a future high-speed rail corridor along the Gulf Coast and up through Meridian, Mississippi. This was reflective of the momentum for passenger rail that had been building in the country.

For years, the SRC worked to expand rail in the Gulf Coast and connect regional lines with long distance ones, ultimately resulting in the first truly transcontinental rail line in American history. The designation as a future high-speed rail corridor further exemplified support for expanding passenger rail as it made available federal funds necessary for project planning and implementation. Yet, following Hurricane Katrina, the loss of crucial passenger rail connections was ignored in the great recovery despite the restoration of all other critical infrastructure.

The SRC stepped into this void, bringing the matter to local, regional, and national attention. A national energy for the restoration of passenger rail did not emerge out of thin air, rather, it was the concerted efforts on behalf of leaders across the country who optimistically believed in the reality of the train.

Map showing the stops of the restored route from New Orleans to Mobile, making stops in Bay St. Louis, Gulfport, Biloxi, and Pascagoula along the way.
(Southern Rail Commission)

Building excitement, locally and nationally

Elected officials, mayors, federal representatives, and community leaders tirelessly advocated for the economic, cultural, and mobility opportunities that the service had the potential to restore. Relationships were cultivated with advocates in Congress and the Senate, with leaders such as Senator Roger Wicker (MS) and Senator Thad Cochran (MS), who took positions as champions for expanding the national rail network, including restoring service on the Gulf Coast.

The Gulf Coast Working Group (GCWG) was authorized by Congress in 2015 to oversee the prospect of restoring passenger rail service, bringing attention to passenger rail as the backbone of the transportation system. Members of the group were tasked with evaluating options for intercity passenger rail restoration, selecting a preferred option for the route, and determining federal and non-federal funding mechanisms necessary to the restoration. Findings of the GCWG, as reported to Congress in 2017 in the Gulf Coast Working Group Report, determined that the first service that should be restored would be the New Orleans to Mobile route.

In the midst of developing the Gulf Coast Working Group Report, the Southern Rail Commission coordinated with the Federal Railroad Administration, Amtrak, and state and federal leaders to build local and regional excitement for the initiative. A defining moment arrived for the restoration of Gulf Coast passenger rail with the ride-along in 2016. The inspection train, traversing from New Orleans, LA to Jacksonville, FL, helped identify a potential route and examine the existing freight line infrastructure.

The inspection train arrives in Mobile, greeted by a crowd lined up by the tracks
(Amtrak)

As the train rolled into Mobile for the first time in nearly a decade, the passion for the rail line was on palpable display. Cheering crowds flocked to the platform showcasing the community’s desire to restore the rail connection and options for transportation and mobility for the region. Scores of people continued to throng the route to watch the train run, even when the train wouldn’t stop in their community, serving as testament to what restored service represented for communities in the Southeast—and proof of the political will needed for service to return. Transportation for America has worked with the SRC to build on this momentum through policy advocacy at the federal level.

Negotiations begin

Restoration of passenger rail faced numerous obstacles in its implementation, one of them being disagreements amongst freight rail carriers on the infrastructure requirements for the route. Freight carriers, CSX and Norfolk Southern, expressed concern about capacity challenges when their existing rail infrastructure would need to accommodate passenger rail trips.

Continued support and involvement from the Federal Railroad Administration (FRA) helped resolve the disagreements and ensure that passenger service would be restored. In fact, the FRA’s involvement in the Gulf Coast Working Group Report to Congress found solutions to shared track schedules and illustrated the numerous benefits that track restoration would have to both freight rail and passenger rail. The success of these negotiations underscored the importance of collecting reliable and transparent rail data, and the ongoing value of collaboration between freight and passenger rail.

Political advocacy, community engagement, and the evolving discussions with freight rail laid the groundwork for restored passenger rail along the Gulf Coast. These efforts made it possible to begin negotiations and construction, but there are still some necessary components needed to make it to the finish line, most notably funding. Stay tuned for the next part of this series when we explore how the momentum for this cause is translated into implementation and wins!

What happened to U.S. passenger rail?

An empty black-and-white train track disappears into the fog

Almost a century ago, the railroads were the economic engine of the country, spurring the transportation of both goods and people over long distances. Now, the American railroad system is merely a specter of its former self. How did the United States devolve from an expanded passenger rail network to the system we have today?

In recognition of recent progress for passenger service in the Coastal South, we’re releasing a four-part series exploring how unified regional and national approaches, supported by local advocacy and sound policy, can help create a successful passenger rail network. This is part one of the series, written by Mehr Mukhtar and London Weier. Read part two on building momentum for change, part three on converting support into action, and part four on next steps for a national network.

An empty black-and-white train track disappears into the fog
(Jan Huber, Unsplash)

The Rail Passenger Service Act of 1970 created the National Passenger Railroad Corporation (Amtrak as we know it today). The advent of the automobile, creation of the Interstate Highway System, and a boom in air travel all diverted passengers away from rail. Railroads began losing out on passengers, and in their desire to increase profits, they started viewing their requirement to maintain passenger railroads as a costly financial burden. Creating a dedicated entity to serve passenger rail was seen as the solution to shifting the burden of passenger railroads away from freight railroads.

The mission of Amtrak at its inception, to maintain a national passenger rail network, is a far cry from the current state of the corporation. This is largely due to a failure in government funding, as policymakers continue to criticize Amtrak for a lack of profits, even as a lack of funding diminishes the service. In 1995, Amtrak faced severe budget cuts by the federal government, forcing suspensions and reduced service across the country.

In most of the country, passenger service decreased from 7 days per week to only 3 days per week and some routes were permanently eliminated, devastating the frequency of the service and its reliability as a mode of commuting. This had particularly far-reaching consequences for smaller towns and cities that suddenly became disconnected from their passenger rail routes.

Despite this setback, local leaders coalesced to press Amtrak and Congress to restore many of these reductions in service. Congress responded by creating an entirely new Amtrak Board of Directors, and under new management, Amtrak made great strides in the Northeast Corridor with the rollout of Acela, their first high-speed rail, in 2000. They accomplished this all while improving long distance service and developing state supported service. These improvements were short-lived, however. Changing leadership of the board and executive staff led to decisions focused on the Northeast Corridor to the detriment of the national system. This deficiency of investments and oversight outside of the corridor stifled expansion in the rest of the nation.

In the Coastal South, as in much of the United States, this trend ultimately resulted in a passenger rail system that was failing to prioritize connectivity and meet the needs of the public. Hurricane Katrina was the final nail in the coffin.

In 1962, a robust web of passenger rail service skirted across the U.S. By 2005, this network was immensely diminished, showing only a small smattering of distinct lines
Even before Hurricane Katrina hit the Gulf Coast, passenger service was experiencing an ongoing decline in every part of the country. Maps created by Michael Kenton using data from the Rail Passengers Association.

Disaster strikes

In 2005, Hurricane Katrina devastated the Gulf Coast of the United States, causing thousands of deaths and over $108 billion in property damage. Among the damage caused by the storm was considerable destruction of critical rail infrastructure, especially on the line between New Orleans, Louisiana (LA) and Mobile, Alabama (AL).

In the days immediately before and after the storm, all Amtrak service through New Orleans was halted. Today, three long distance trains depart from New Orleans Union Passenger Terminal, the City of New Orleans (service between New Orleans and Chicago), the Crescent (service between New Orleans and New York), and the Sunset Limited (service between New Orleans and Los Angeles).

Although the City of New Orleans and the Crescent returned in full swing about one month after Katrina made landfall, the Sunset Limited service was permanently changed. Prior to Katrina, Sunset Limited connected communities from coast to coast, running from Los Angeles to Orlando, Florida; however, since Katrina, the train reaches its final eastward destination in New Orleans.

The brunt of track damage occurred on the eastward bound sections of track connecting New Orleans to Mobile, an essential connection to continue Sunset Limited service to Orlando. Along this route, Amtrak passenger trains shared track belonging to freight companies CSX Transportation, Norfolk Southern (NS), and Union Pacific (UP). CSX took the brunt of storm damage and needed to restore five bridges and 40 miles of track that were completely washed out in the wake of Katrina. Norfolk Southern and Union Pacific lines also experienced considerable bridge damage and track repairs, including the need to restore felled power lines. Though freight rail lines took four months to repair, tracks shared by Amtrak (which were the responsibility of freight railroads to restore) took six months to recover.

In the almost two decades since Katrina made landfall, passenger rail lines leading eastward from New Orleans have not been restored. Post-hurricane rail restoration left this line out of the picture, an oversight that members of the impacted communities would fight for years to amend.

The loss of Gulf Coast service after Katrina had a particularly devastating impact on communities in the region, but the decline of passenger service in the South was also reflective of a larger disinvestment in passenger rail in every part of the country, particularly outside of the Northeast Corridor.

These lessons from the past can serve as a blueprint for the future of nationwide passenger rail that we are aspiring towards. New funding mechanisms and policy developments, such as the IIJA, capture the efforts to revive the historic role that passenger railroads have played in the country. Through decades-long advocacy with passenger rail groups across the country, Transportation for America has demonstrated that good policy, combined with the knowledge and expertise of dedicated advocates, can build momentum for improved service to reverse the deterioration our passenger rail system has witnessed. We’ll explain how in the next three parts of our series. Stay tuned!

Progress for passenger rail in the South and beyond

A shiny passenger train chugs down the track in a southern town

Two recent developments at the federal level can help propel passenger rail expansion in the South and across the country. 

A shiny passenger train chugs down the track in a southern town
An Amtrak Crescent line train heads south. Wikimedia Commons photo.

Interstate Rail Compact Grant

The states of Mississippi, Alabama, and Louisiana make up the Southern Rail Commission (SRC), which has been steadfastly committed to expanding passenger rail service in the South for the past 40 years, most recently achieving success for the restoration of service on the Gulf Coast.

On March 14th, the Federal Railroad Administration (FRA) announced that the SRC, along with rail commissions in the Midwest and Mid-Atlantic won an Interstate Rail Compact (IRC) grant. The SRC will match 50 percent of the $400,000 they have been awarded and use these funds to hire more people, market passenger rail, conduct impact studies, and apply for more federal grants. In short, they can spend the money on everything but running the service itself.

The SRC has been fighting the good fight for decades. Passenger rail service in the United States has been on the ropes for decades, with much of the service in the South phased out in the 70s. The situation only worsened after Hurricane Katrina in 2005; passenger rail service has not been running on the Gulf Coast for nearly 20 years.

The grant spells good things for the ongoing fight for passenger rail. In addition to the restoration of service on the Gulf Coast, the SRC has several projects to support, including passenger rail extensions between Baton Rouge and New Orleans, Mobile to New Orleans, and Dallas to Atlanta. This grant will help them further advance their efforts.

Passenger Rail Advisory Committee

Hot off the heels of the IRC grant announcements, the Surface Transportation Board (STB) has publicly announced the membership of their new Passenger Rail Advisory Committee (PRAC). The STB’s duties related to passenger rail service have expanded in recent years, leading to the creation of the PRAC. This committee is intended to advise on increasing route efficiency, mediating between passenger and freight companies, and improving inter-city rail-related processes. Its formation is a testament to continued progress for passenger rail at the federal level, which we hope will translate to support for passenger service across the country.

Among the names of the 21 voting members lies our own chair, John Robert Smith, former Amtrak board member and former member/long-time advisor to the SRC. The inclusion of advocates like John Robert, who have dedicated decades in the pursuit of passenger rail service across the country, will be critical in supporting expansion efforts in the present day.

While these advancements for passenger rail are particularly good news for the South, they’re also proof of what’s possible in the rest of the country. The SRC continues to build upon their recent success in the Gulf Coast, showing what bipartisan leadership on interstate rail can accomplish. As support for passenger rail continues to evolve at the federal level, we hope more leaders will follow their example.

Avoiding Derailment: The Freights First Act in Perspective

Amtrak’s eastbound Texas Eagle train departs Dallas.

There is no denying that there are persistent issues that impact reliable freight service and the efficient delivery of goods nationwide. Yet, despite the discussion of the myriad service issues that affect the supply chain, Amtrak and passenger rail have not been identified as a cause of disruption, and have, in fact, been conspicuously absent from the conversation in general. Despite this lack of impact, critics argue that if the Freights First Act is enacted, it could jeopardize the growth of passenger rail and roll back vital infrastructure investment goals.

Amtrak’s eastbound Texas Eagle departs Dallas. (Matt Shell via Flickr)

The Freights First Act, introduced by Rep. Eric Burlison (MO), seeks to “eliminate Amtrak’s right of preference” over freight transportation in what is being portrayed as an attempt to prevent freight rail bottlenecks and expedite freight movement. Co-sponsored by U.S. Representatives Troy E. Nehls (TX), Scott Perry (PA), Andrew Ogles (TN), and Harriet M. Hageman (WY), there has been no evidence implicating passenger rail as an obstacle to freight service productivity.

In April 2022, the Surface Transportation Board (STB) held a public hearing to urgently assess freight rail service performance and how unreliability and inconsistency impact the supply chain. Stakeholders, including rail labor organizations and shipping companies, gave extensive testimonies regarding service concerns and their vision for a path toward service recovery. The STB found that decades-long practices such as reducing operating ratios and diminishing the existing workforce to cut costs are harmful to operations and stymies service. 

Following the investigation, the STB issued a ruling that requires Class 1 freight railroads, namely BNSF, CSX, UP, and NS, to be put on an aggressive schedule to provide updates on their rail service, performance, and employment. This evaluation of progress is a significant step forward in monitoring improvements from freight railroads that urgently need to reform their precision scheduled railroading model as well as increase transparency and accountability. 

Notably, passenger rail was not identified as a concern throughout this process—even by the freight provider’s own admission. This means that if enacted, this legislation will likely not improve delays and establish efficient freight service. What this legislation will achieve, is effectively dismantling a robust network of national and state-supported passenger rail service, and undermining the vision for growth and expansion of nationwide passenger rail service outlined in the Infrastructure Investment and Jobs Act (IIJA)

The Freights First Act also contradicts the goals of the citizens whom proponents of this bill are supposed to represent while obscuring and ignoring the real obstacles that are hindering the improvement of freight service. Mayors of Houston, Austin, and San Antonio have looked into popular options to expanding passenger rail in the Texas Triangle in order to prioritize local economies and connect people to services. The current infrastructure funding presents an opportunity for these states to advance projects that can improve mobility in their region, including the extension of the Amtrak Heartland Flyer as well as the I-35 rail expansion. Similarly, Memphis, Nashville, and Chattanooga have declared interest in passenger rail opportunities throughout Tennessee to meet growth and mobility needs. The agenda being advocated for by the representatives sponsoring the Freights First Act is entirely misaligned with the tireless support for passenger rail exhibited by these states and communities.

The IIJA presents a momentous opportunity to act decisively and improve community connectivity through a strong network of passenger rail service, and our responsibility is to support this movement, not roll it back. The Freights First Act is presented as an aspiration for improving the nation’s supply chain performance but it is nothing more than a thinly veiled attempt to destroy intercity and commuter rail passenger transportation. 

Final grant clears the way to restore Gulf Coast passenger rail service

Last week’s announcement of a $178 million federal grant to make track and infrastructure improvements along the Gulf Coast rail corridor represents the last major funding hurdle to restoring passenger rail service from New Orleans to Mobile, AL.

Residents of Mobile welcomed the Amtrak inspection train during a stop in February 2016. They are close to getting their wish.

It’s been a long journey.

Seven years ago in February, a special Amtrak inspection train rolled along the Gulf Coast corridor to both preview the route and build support for restoring passenger service that was wiped out by Hurricane Katrina in 2005, nearly 11 years earlier. Making brief, 10-minute stops in Gulf Coast towns along the way, it was greeted by thousands of cheering residents clamoring for passenger rail to return. I was there in 2016, and—a little overwhelmed by the level of support—I wrote about seeing “rich people, poor people, black people, white people, young people, old people — all asking their elected leaders for the same thing: We want passenger rail back on the Gulf Coast.”

The last major funding barrier has been breached. Mississippi Senator Roger Wicker last week announced a $178.4 million federal grant to make a litany of infrastructure investments in the corridor, including track, sidings, signals, new platforms, and other improvements. We’re not quite at the end yet, but this grant caps off a decade of work by the Southern Rail Commission, local and state advocates, and Transportation for America.

These improvements will allow new passenger service to start up in the first quarter of 2024, hopefully in time for Mardi Gras. Once launched, there will be two trains daily between New Orleans and Mobile, with stops in: 

Bay St. Louis…

the backs of women in colorful wigs and costumes looking at amtrak train in background

Gulfport…

wide shot showing big crowd of people with parking garage behind and amtrak train at left

Biloxi…

wide shot of big crowd at railroad crossing in biloxi

and Pascagoula.

closeups of people, some with signs reading "Amtrak - welcome back to Pascagoula"

About the grant

The grant is from the Consolidated Rail Infrastructure and Safety Improvements (CRISI) grant program, which was created in the FAST Act (federal transportation authorization) in 2015. To secure federal funding for this specific project in a post-earmark world, T4America helped create a new national program to support it and other necessary infrastructure improvements for passenger service across the country. Washington state, California, Florida, and the District of Columbia also received CRISI grants in this batch.

The CRISI grant is the last major funding domino to fall, but everyone involved has committed resources along the way, which is perhaps the most important lesson from this story: The effort was both top-down and bottom-up. Partnerships across jurisdictions, state lines, and party lines made it possible.  At the very center of that effort is our work with the Southern Rail Commission, a Congressionally established tri-state rail compact with members appointed by the governors of Louisiana, Alabama, and Mississippi. 

Mississippi and Louisiana were out front early, committing state money to match these federal grants. Norfolk Southern, CSX, the Port of Mobile, and Amtrak also committed money to the CRISI application to complete the required match. Amtrak is training crew and preparing equipment for running the new service. This is actually not the first CRISI grant awarded to the project, and another federal grant received years ago will help cover start-up operations costs (from the Restoration and Enhancement grant program.)

What’s next for Gulf Coast rail? 

Most of this grant will go toward immediate construction on improving the right-of-way and sidings on trackage owned and used by CSX and Norfolk Southern freight railroads, improving on-time performance. Amtrak is paying for the ADA-accessible platform and siding in Mobile out of their own pocket, but if Mobile wants a proper station, they will either have to build it themselves or apply for one of the available grants for doing so. All the infrastructure work will have to be done in partnership with the freight railroads, so leaders in influential places will be leaning on them to get this vital work done as fast as possible.

These new infrastructure improvements are the last barrier standing in the way of people buying a ticket and riding the rails on the Gulf Coast once again. We expect to see trains running in spring 2024.

Win after win

The last eight years have been a tremendous success for new investments in passenger rail across the country. This effort in the Gulf Coast—and its champions like Senator Wicker—have created new opportunities and federal programs (like CRISI) that are having an impact all across the country. 

We’re looking forward to detailing the longer, full story of T4America’s decades-long quest to restore Gulf Coast passenger rail in some future posts so other regions can learn from their example. There are numerous benefits to expanding and improving passenger rail service, which is precisely why T4America (and Smart Growth America) have focused on it over the years. It’s a great way to better connect residents to opportunity, expand their economies, lower emissions and protect the climate, and provide another clean, efficient option for getting around—all things which are at the heart of our collective mission. 

All photos by Steve Davis / Transportation for America

Amtrak’s path to world-class service

People in business and casual attire gather on a platform to board an AVE train in Madrid.

US passenger rail was the envy of the world at the turn of the 20th century. As global temperatures rise, and with the growing need to enhance intercity mobility options to get to economic and civic opportunities, it’s high time to look to and emulate our international peers in developing passenger rail: iterate, innovate, and don’t fall for the immediacy trap.

People in business and casual attire gather on a platform to board an AVE train in Madrid.

Frequent, reliable, and attractive high speed intercity rail service in Madrid, ES. T4A photo by Benito Pérez.

What do you imagine when you think of passenger rail service in the United States? Slow service, long delays, and flash frozen high-sodium food? Amtrak passengers nationwide will recognize these hallmarks of the company’s poorly-regarded passenger rail service. Repair and operational issues, such as equipment failure, staff shortages, and the conditions of rail infrastructure, contribute to delays. The result is a frustrated traveling public more likely to get in their car than take even the most convenient of train rides, leading to more driving and more emissions. 

But it doesn’t need to be this way. High speed rail operations in Asia (think Japan, China) or in Europe (think the TGV in France, AVE in Spain, and many other passenger rail operators), though imperfect, have made great strides where Amtrak still lags behind. Common across these systems is an enhanced state of repair, dedicated passenger rail lines, quality user experience on the trains, and traveling speeds that rival air travel and dwarf vehicle travel. These features are the result of constant iterative processes.

A passenger walks up to the platform between two AVE trains.

Approaching the rail service platform at Atocha station in Madrid, ES. T4A photo by Benito Pérez.

With strong government support, these systems are constantly improving and reinventing themselves to focus on the customer and move them in a safe and efficient manner. They are constantly exploring service expansions to new communities to enhance mobility choice beyond the car and plane, all while exploring technological advances and infrastructure improvements to continually speed up and improve their service.

This was my experience traveling in Spain several weeks ago, taking the train from Madrid to Málaga, an otherwise 6- to 7-hour car ride covered by AVE just north of 2 hours. When you factor in time waiting at the airport, this was even less time than a flight. Along the way, I had the opportunity to dine on board, getting a freshly made sandwich, while customers were able to explore other fresh food options available.

Why has Spain successfully developed high speed rail, while Amtrak’s quality of service continues to lag behind? Looking back on the Spanish history of their rail system, starting back in the 19th century, they reached their apex in the 1950s, with 19,000 km of rail lines serving passengers. The Spanish Civil War in the late 1930s did a number to the state of repair of the rail system, forcing the government to nationalize the system by 1941. But like the US, auto ownership started to take a toll on the Spanish rail system (RENFE) in the 1950s, leading to 8,000 km of rail line to be dismantled in the coming decades. 

But unlike the U.S., which took the rise in car ownership as granted and let its rail system deteriorate, Spain empowered RENFE to explore heavy investments in higher speed and capacity passenger rail starting in the 1970s. That led to a systemwide increase of rail speed to 160 kmph (100 mph, compared to Amtrak’s typical 79 mph benchmark) by 1986, and the first high speed rail line opening in 1992, followed by many more lines that have come online and are still growing across the country.

A large sandwich made of pieces of fresh ham and a baguette

Fresh Jamón Serrano sandwich aboard an AVE train. T4A photo by Benito Pérez.

Coming back stateside, I thought: why are we not emulating such a proactive iterative approach with our passenger rail system? At the dawn of railroad technology in the 1800s, the US was a world leader in passenger rail service, with frequent service along 31,000 miles of rail. But after World War II, rail companies abandoned huge segments of the rail system as the private sector turned its attention toward vehicles and aviation. Recognizing that passenger rail is a vital mobility option for many communities in the United States, Congress intervened in 1971 with the creation of Amtrak, intent on maintaining passenger rail service as an option in the United States.

Far from reversing the deterioration of national passenger rail service, the creation of Amtrak resulted in further funding cuts, which created a vicious cycle at Amtrak of poor policy and operational decisions focused solely on the bottom line versus customer experiences. As the federal government invested further into high-speed roadways for vehicles, support for passenger rail funds deteriorated, so much so that today, some members of Congress consider the mere existence of Amtrak as government waste. Detractors of passenger rail contend that millions of taxpayer dollars are pouring into passenger rail, yet are not achieving the same results as what we see with our peers abroad. Without needed funds, we see a deterioration of state of repair and safety, user experience, and eventually a loss of ridership that would help bring in needed funding.

Though the 2021 infrastructure law’s historic passenger rail funding and policy reorientation to the customer experience has the potential to interrupt that cycle, many members of Congress are intent on gutting it before those effects can take hold. The most extreme example is the  House of Representatives’ 2024 Transportation Housing and Urban Development Appropriations bill, which recommended nearly 70 percent in funding cuts to Amtrak. 

As threats to essential air service and rural mobility options abound, America can’t afford to also lose passenger rail service, which is a valuable transportation option for the 1 million rural residents that do not have access to a vehicle. And as transportation continues to contribute to U.S. climate emissions, every American needs better options for long-distance travel than hopping into a vehicle or onto a plane.

There needs to be a fundamental reset in our mindset when it comes to passenger rail. There is a culture of immediacy with results; an expectation that existing resources should be working harder, otherwise take more resources away. If we expect American passenger rail to be world class, like it was in the late 19th century, we need to be investing in a world class way, through constant and iterative funding and innovation, not throwing the towel and staying complacent with the status quo. 

A Latino man with glasses and a red coat smiles in front of rows and rows of open seats.

Policy Director Benito Pérez aboard an AVE passenger car.

Once-in-a-generation opportunities in passenger rail—but the time to act is now

T4America works with partners all over the country to develop passenger rail service, and we’re telling them all the same thing: now is the time to act. We’ve never seen this amount of support for passenger rail from Congress and the Federal Railroad Administration, and federal funding is there. But there’s a procedure—with deadlines—to follow. Here’s how to take advantage in the year ahead.

Amtrak Cascades at Mt. Vernon station. Photo via Flickr/Joe A. Kunzler Photo

Legislative and administrative stars aligning

For decades, the development of a national passenger rail system has been low on the priority list for Congress. Who could blame them? So many of their districts are poorly served, and Amtrak focused almost exclusively on the Northeast Corridor and left the rest of the country out to dry. (Read more about the history of Amtrak and Congress here.)  

In 2021, despite Amtrak’s lack of focus on the national system, Congress made leaps and bounds in their support for passenger rail by passing the Infrastructure Investment and Jobs Act (IIJA), which funded the Federal Railroad Administration (FRA) and Amtrak at historic levels. The IIJA also re-oriented the mission of the national passenger rail system toward serving more communities, both urban and rural, across the country. In the past, Amtrak has been required to make a profit—unlike other modes of transportation—above all other goals, often to the detriment of its riders. 

If Amtrak, states, interstate compacts, regional passenger rail authorities, and localities play their cards right, these historic funding levels coming from the FRA and the renewed national mandate for Amtrak can result in a much improved and expanded national network of passenger rail. The IIJA charted out a process for this expansion, which focuses infrastructure improvements to passenger rail corridors within interstate compacts. We have narrowed this process down to three steps, which we outline below.

Step 1: Corridors

The first and most immediate step in advancing passenger rail service across the country is the identification and development of passenger rail corridors. The IIJA created the Corridor Identification and Development Program (CIDP), which is designed to focus federal funding on key passenger rail corridors across the country. The term “corridor” refers to a stretch of rail right of way where applicants can build or improve station stops—as well as the rail infrastructure between them—to give more people access to the route. 

Where will these corridors be built? The short answer is: we’ll have to wait and see. States, localities, interstate compacts, or other applicants will determine where they want to establish corridors based on many economic and social factors. But the possibilities are immense. FRA has challenged state and local leaders to, in their words, “dream big” with the CIDP. Governments from around the country have already expressed their interest in developing corridors, which Amtrak presented during a public board meeting in December (rendering of Amtrak’s map pictured below, with potential corridors in light blue).

Recreation of map presented at Amtrak’s public board meeting (Source: Ryan C on Twitter)

As an incentive to create official corridors, the FRA is offering successful applicants $500,000 in no-match federal funds to start planning their corridors. New corridors will also get preferential treatment during future federal grant applications. These incentives are what make applying to the CIDP a critical next step for the development of passenger rail service. 

The CIDP is currently open, with applications due March 20.

Step 2: Infrastructure improvements

Officially recognized passenger rail compacts and corridors will be at the front of the line at FRA for funding opportunities. The IIJA greatly expanded the two main federal passenger rail infrastructure programs: the Federal-State Partnership for Intercity Passenger Rail Program (Partnership Program) and the Consolidated Rail Infrastructure and Safety Improvements (CRISI) Program. This should encourage regional, state, and local governments to apply, given that the possibility of receiving an award is higher than it ever has been. 

The Partnership Program is live right now, with applications due on March 7.

These funding opportunities can be used to plan for, design, and construct grade crossing eliminations, stations and multimodal station areas, track improvements, and create capacity improvements (addressing bottlenecks). These improvements are all critical for the safety and viability of passenger rail service on new and expanded corridors. In addition to these infrastructure improvements, compacts and corridors will have priority in applying for operational support through programs like the Restoration and Enhancement (R&E) Program to begin to operate new or restored passenger rail service.

Step 3: Compacts

In order to solidify the gains made from forming corridors and funding infrastructure improvements, interested states should form interstate rail compacts. The IIJA created the Interstate Rail Compact Program (IRC) to help states work together to further the development of regional passenger rail networks across the country. 

The IRC Program is seeking to build off the success of interstate rail compacts like the Southern Rail Commission (SRC), the oldest rail compact in the country. The SRC consists of Louisiana, Mississippi, and Alabama and works to coordinate stakeholders in those three states to restore passenger rail service throughout the deep south. Watch this video to see the SRC’s work in action.

Through the IRC, the FRA is seeking to create 10 such compacts (SRC included) to serve 10 different regions across the country. During the formation process, the FRA will support these compacts in building coalitions of support, identifying opportunities for new or restored passenger rail service, and pursuing federal funding. 

The IRC is likely to open later this year.

Support is fleeting

Congress is changing hands. Sam Graves, who has little to no track record on passenger rail, is the new chairman of the House Transportation and Infrastructure Committee. We expect Ted Cruz—an opponent of passenger rail—to run the Senate Commerce Committee if Republicans take the Senate next cycle. 

This constant shuffle in Congress means that, at any moment, the programs generously funded by the IIJA could once again be defunded. So while the IRC and CIDP will be available in coming years, this year is the only guaranteed opportunity for full program funding and support from the FRA. 

Local advocates have opportunities to get involved as well. Round up your state or regional passenger rail authority. If you’re looking to get long-distance service, find ways to participate in the FRA’s Amtrak Daily Long-Distance Service Study. If you want to see your community served by new or improved passenger rail corridors, now is the time to go out and get things moving.

A blueprint for Amtrak success from T4A Chair John Robert Smith

Amtrak has a workforce crisis on its hands. While the COVID-19 pandemic brought many of these problems to light, it did not create them. Mistakes by Amtrak’s leadership long before COVID-19 led to a slowly diminishing workforce and service impacts, which the pandemic exacerbated. Now, with a historic federal investment in passenger rail, how can Amtrak pivot and get back on the right track? The answer may lie in the company’s recent history.

Flickr photo by Tony Alter

John Robert Smith is Chair of T4America and policy advisor for Smart Growth America. He served for 16 years as mayor of Meridian, MS, whose Union Station, his signature project, is recognized as one of the best multi-modal transportation centers in the country. He then served on the Amtrak Board of Directors, where he shepherded the company through Congressional defunding, the launch of Acela, and the restoration of 7 day/week national service. At T4A, he now advocates for more equitable and regionally diverse expansion of national passenger rail service.

The history: Amtrak in crisis

In 1995, federal budget cuts slashed Amtrak’s budget to $750 million, a six-year low. Amtrak, facing Congressional pressure to reduce its expenses but wishing to preserve full Northeast Corridor service, suspended service from seven days per week to three days per week along much of the national network. 

For John Robert Smith, then mayor of Meridian, Mississippi, that was an unworkable plan. He was overseeing the construction of the South’s first multimodal transportation center, with the city’s Union Station at its center. He knew, having planned for seven day/week rail service through his city, that cutting service to less than half would be an inefficient use of Amtrak’s resources, which would sit idle when not in service, still incurring fixed expenses. He watched Amtrak cut its workforce and service nationwide and feared this would cause long-term losses in ridership and not result in the cost savings Amtrak thought it would.

His fears came to pass. The Government Accountability Office (GAO) found that “during fiscal year 1996, Amtrak’s overall ridership dropped by 1.1 million passengers, or 5 percent, and anticipated reductions in operating costs were not realized on routes with reduced frequency of service.” Testifying before Congress in 2000, Amtrak President George Warrington admitted that “all of those eliminations back in 1995 and 1996 ended up costing the company more in lost revenue than we were able to take out in the way of expenses, given the fixed-cost nature of the operation.”

The change: Better trains, regardless of funding

Recognized by Congress for his successes in building the South’s first multimodal transportation center, Smith was appointed to the Amtrak Board of Directors in 1998. This meant he was thrust into the center of the effort to recover from the disastrous decisions made by Amtrak in 1995.  He ​​knew that three day per week service would result in inefficient use of staff and equipment. So he built relationships with both sides of the aisle in Congress, convincing Senate leaders to restore Amtrak’s national seven day per week service to much of the national network. For example, opposition to Amtrak funding had mostly come from Republicans, so Smith spoke with his senator, Trent Lott (R-MS), about the economic benefits of passenger rail for Mississippi, turning Lott into an ally within the party.

But Smith learned from very early on that Amtrak could not rely on steady funding to provide high-quality service. In 2000, Congress defunded Amtrak yet again, this time right before it launched the new high-speed Acela service (to much fanfare). While they did not have the money to boost the service as much as they would like, Amtrak was nonetheless dedicated to running high-quality trains. The Board personally ensured that on-board service on Acela trains would meet customer needs. They persistently marketed Acela as faster than air travel, even issuing a challenge for two reporters to race from the Washington, DC city center to Boston’s city center, one by airplane and one by Acela. The reporter on Acela arrived in Boston first. With airports located far from city centers and delays from air traffic control, weather, and security screenings, air travel was slower than Acela. 

When Smith became Chairman of the Amtrak Board in 2002, the company had yet to fully recover from the previous decade’s workforce cuts despite eventually restoring Congressional funding. But Amtrak’s new president, David Gunn, was committed to building a stronger workforce from the ground up. Gunn visited railyards at 4:30 every morning to talk with the crews. He was committed to riding Amtrak to attend meetings so he could witness first hand the problems facing on-board crews. Morale among Amtrak’s labor force was high. Some employees printed t-shirts that read “Proud to Be Working Under the Gunn.”

Year to year, Amtrak’s ridership does not have a strong impact on its revenue. (Source: 2017 CRS report)

Due to the lapses in funding, Smith and Gunn often had to confront the possibility of bankruptcy. During the worst of their fiscal crisis, in the summer of 2002, they worked with the Bush Administration to secure an emergency $100 million loan to keep the company afloat. The loan conditions were hard, but the money kept Amtrak running and was critical to the rebuilding effort.

Despite stagnant federal support, high morale among workers translated to high-quality service. By 2007, Amtrak’s ridership reached a 15-year high. Despite some pressure to invest only in the “profitable” Northeast Corridor, Smith and the rest of the Board knew better. They had ridden the trains with their long-distance customers, who they knew would be loyal to Amtrak if Amtrak took care of them. Their success, on top of the honest relationships with Congressional staff built by Amtrak’s director of Government Affairs Joe McHugh, created trust in the halls of Congress. Smith, Gunn, and McHugh were able to convince senators like Lott, Frank Lautenburg (D-NJ), and Kay Bailey Hutchison (R-TX), who had little else in common, to serve as Congressional champions for Amtrak service through each others’ states. Smith, Gunn, and McHugh also developed relationships with Senate Appropriations leaders Robert Byrd (D-WV) and Thad Cochran (R-MS) to ensure stable federal funding for years to come.

Throughout his tenure on the Amtrak Board of Directors, John Robert Smith believed in long distance service and its ability to support the rest of the organization. Smith’s trust in the loyalty of long distance customers was later vindicated during the COVID-19 pandemic, when Amtrak was kept afloat largely by its long-distance customers outside the Northeast Corridor. As ridership continued to be depressed on the Northeast Corridor and state supported lines in April 2020, ticket revenues from long-distance trains rebounded much quicker, jumping 71 percent, from $6.8 million to $11.6 million.

Today: History repeats itself

The progress made by Amtrak leaders like Smith and Gunn is threatened by an Amtrak leadership that is repeating the mistakes the company made in the 1990s by once again furloughing much of its workforce and defunding its long-distance network.

Graphic detailing long distance service, from Amtrak’s FY 2021 Company Profile, showing the positive effect long distance service has on the company’s revenue.

When the COVID-19 pandemic reached the United States in 2020, Amtrak leadership decided to furlough 11 percent of its workforce, with another 20 percent reduction in 2021. These reductions mostly affected the company’s loyal long distance customers despite overwhelming evidence that these types of actions do not reduce long-term expenses and can indeed make service recovery much more difficult. Now crews are demoralized, evidenced by Amtrak’s struggle to attract furloughed employees back to their jobs. Remaining staff are overworked, threatening safety and customer care.

The Infrastructure Investment and Jobs Act authorized a record $2.2 billion in annual funding for the national network, twice that of the Northeast Corridor. But as Amtrak proved in the late 1990s and early 2000s, funding does not guarantee high-quality service. And Amtrak is going in the wrong direction. Facing a drop in revenue due to the coronavirus Omicron variant in early 2022, Amtrak once again slashed long-distance service, hurting its most loyal customers. Many long distance routes have yet to recover.

John Robert Smith’s simple message for today’s Amtrak leadership

“Ride the trains unannounced and individually. See the same service your customer does. Ride lines other than the Northeast Corridor, and more than once. Leaders like myself and David Gunn knew what the company’s workforce and riders needed to thrive because we used the service we were providing nationwide. We moved our monthly board meetings out of Washington two or three times per year and traveled there on our trains.

Talk to the crews. Ask what they need. Ask them what it’s like to work an entire train alone. Talk to coach passengers who are not allowed to purchase meals from the diner if they don’t carry cash or if delays cause passengers to board after food service has ended. Many of them, especially along lower-income, more rural sections of the national network, do not own a credit card. Eat the food on the trains, which is often unhealthy and undesirable. 

Focus on long-distance service. We’re seeing an increase in remote work, so business and commuter passengers might not come back to riding Amtrak. But long-distance passengers have proven their desire for more frequent trips.”

As Amtrak has proven in the past, success with long-distance customers can translate into success in Congress. Amtrak developed champions like Trent Lott and Frank Lautenburg in the past, and can develop champions like Roger Wicker and Maria Cantwell today. If Amtrak engages with its passengers and provides regionally diverse service, it can make passenger rail an issue of national consensus with allies across the aisle. 

None of these goals are easy to achieve. They will require diligent time and effort. But they will pay off. At a time when Amtrak has unprecedented funding and national attention, the moment is too great to pass up.

Rail barons return: How two freight railroads are trying to derail the infrastructure law’s historic investment in passenger rail

mosaic of mobile residents cheering on the 2016 inspection train
mosaic of mobile residents cheering on the 2016 inspection train
Mobile residents are eager to see passenger rail return. Their city council voted 6-1 in 2020 to spend $3 million in city funds on restoring the service.

Two freight railroads have been waging a bad-faith effort to kill the incredibly popular, fully funded, multi-state effort to restore long-awaited passenger rail service along the Gulf Coast, in part because the precedent could stall the infrastructure law’s historic investment in the country’s passenger rail network which would give millions more Americans access to regular rail service.

We’ll start this story with a video. Take a minute and watch this short video of a day of freight trains passing through “busy” Mobile, AL:

Freight companies Norfolk Southern (NS) and CSX are hoping that no one looks too closely or counts how many freight trains are actually passing through Mobile each day. Why? Because they are trying to convince the federal Surface Transportation Board that Amtrak adding just two passenger trains per day between New Orleans and Mobile would “unreasonably impair” their (uh, “bustling”?) freight operations here. They’re trying to make the case that adding just two passenger trains per day will require an astonishing $440 million in upgrades to their existing rail infrastructure. (That’s after previously telling local officials privately in MS and AL that they only needed $140-160 million.) 

So Amtrak pulled out of negotiations and petitioned the Surface Transportation Board to arbitrate the conflict.

At least on the surface, this fight would appear to be about the long-running effort to bring back new and improved passenger rail service along the Gulf Coast which was wiped out by Hurricane Katrina nearly 17 years ago. $66 million has already been committed by the states and the federal government to upgrade the corridor’s infrastructure and get these trains rolling. Stations are being renovated. Almost every hurdle has been cleared to give residents a valuable new connection and boost tourism and economic development along the entire corridor from Mobile to New Orleans.

Residents have been clamoring to see these trains return for nearly 17 years. Thousands turned out to see the Amtrak inspection train in 2016 all along the Gulf Coast:

But the freight railroads are standing in the way of those residents, trying to either delay the project to death, or take advantage of the federal government and taxpayers with far more public money than they should receive for the necessary upgrades. 

What’s the fight all about here? 

CSX and Norfolk Southern are fighting two meager trains per day here because they know that the precedent set by stopping this new service will make future passenger expansions elsewhere—the kind promised by the infrastructure law—more difficult.

Although freight railroads are required by federal law to share their tracks with passenger railroads—this was the deal struck to consolidate the old passenger companies, create Amtrak, and turn the trackage over to freight companies—freight railroads have to work together with Amtrak to invest in rail infrastructure and balance their operations. But CSX and NS have been negotiating in incredibly bad faith all along the way, producing wildly fluctuating numbers (from $140 million up to $2.3 billion depending on which day you ask them) about the level of investment required to add just two short passenger trains per day. Federal law says that freight railroads can only seek the infrastructure improvements required to facilitate passenger service. (Otherwise, they’d be fleecing American taxpayers, taking public money for their own private gain.)

figure showing freight RR estimates of costs

T4America chair John Robert Smith, a former Amtrak board chair and Mayor of Meridian, MS, testified before the STB this week about the level of misbehavior from the freight companies. It’s worth excerpting heavily:

I take no pleasure in telling you that throughout the effort to restore passenger rail, CSX railroad has been neither transparent nor completely honest in dealing with the SRC, Amtrak and the Federal Railroad Administration as you heard from the FRA earlier today. CSX withheld even the most basic information about their operations from all involved, even from the FRA. …CSX grossly inflated infrastructure costs providing no supporting documentation or transparency in the development of these costs.  As lack of facts and misrepresentation failed them, CSX has resorted to intimidation and fear to ports and shippers alike, as we have seen demonstrated today. I believe this has all been an effort by CSX to kill any additional passenger rail service along the Gulf by torturous delay. 

Death by delay must not become the order of the day, for to do so would extinguish any aspiration for expanded passenger rail connecting our country and its people. 

What’s at stake with this decision?

The Surface Transportation Board is an independent federal agency that regulates some surface transportation modes including freight rail. When private interests bump up against the public in decisions like this, the STB hears and decides the disputes, like a private arbitrator.

If the freight railroads lose this decision, which is looking increasingly likely, one reason will be the diverse coalition of public, private, and political support lining up behind the popular Gulf Coast project and making persuasive arguments to the STB.

Senator Roger Wicker (R-MS) has been this project’s biggest champion from day one. He teamed up with Senator Cory Booker (D-NJ) to include rail policy and funding in a long-term federal transportation law for the first time in 2015’s FAST Act. He has since appropriated money to support the Southern Rail Commission which has done the legwork to get all three states on board with matching state funds to operate the new rail line. Other political leaders from all three states have been instrumental. The local business community is ecstatic. Residents lined up by the thousands to see the inspection train roll through in 2016. Rep. Peter DeFazio, who chairs the House Transportation and Infrastructure Committee in the House, also provided testimony during this week’s public hearing.

But perhaps most notably, the USDOT and Federal Railroad Administration (FRA) itself have gotten heavily involved. Their own filing urged the STB to rule against the railroads because CSX and NS are asking the STB “for an unduly restrictive interpretation…that lowers the bar for demonstrating ‘unreasonable impairment’ [of freight service] below what Congress required.” FRA Administrator Amit Bose testified this week about the importance of the STB continuing to require freight railroads to follow federal law and provide Amtrak the use of their track for passenger service.

“The outcome of this proceeding will be pivotal to the future development of inner-city passenger rail in this country. The Gulf Coast has been without passenger rail service for nearly two decades and in this case, service delayed is service denied,” said Administrator Bose.

Other than CSX and NS, the Port of Mobile has been opposed to this project, supposedly on the grounds that it would impact their operations—concerns which have been repeatedly proven false as the train won’t even enter port property. Alabama Senator Richard Shelby may think he’s only carrying the water for the unhappy Port of Mobile, but his letter to the FRA on the port’s behalf asking them to rule in favor of the freight railroads lays out what the freight railroads are truly concerned about and what’s at stake with this decision. (bold ours)

“In sum, a decision by the Board to mandate Amtrak service in this case will have significant consequences for the national rail network and supply chain, as well as set a precedent for expansion of Amtrak service. We urge you to uphold the Board’s long-standing commitment to an efficient and reliable rail network.”

A collection of monied status quo interests do not want residents of the Gulf Coast to say “Y’all Aboard!” They definitely do not want to see a precedent that would clear the way for the bipartisan plan to pump $102 billion into passenger rail service across the country. They absolutely do not want to see more groups like the Southern Rail Commission on the Gulf Coast created and encouraged to cast a vision, tap into latent demand from residents for new transportation options, and build public/private and political support for new service on other corridors across the country, which was one of the IIJA’s best provisions on passenger rail. From our explainer about the rail provisions in the infrastructure law:

It creates a new program that incentivizes up to ten interstate rail compacts—like the Southern Rail Commission at the center of Gulf Coast expansion—that are vital for developing and realizing a regional and national rail network. Interstate rail compacts are made up of contiguous states that want to establish a vision for and seek investments for intercity passenger rail in their region. …The bill allows for these ten commissions to apply for up to $1 million annually to operate their respective commissions.

What’s next?

The Surface Transportation Board is likely to reach a final decision in March or April. Stay tuned. 

Their decision will have far reaching consequences.

As Mayor John Robert Smith closed his testimony to the STB earlier this week, “send a strong message that it is time that passenger rail became an important part of America’s future. That it is time to reconnect our cities of the Gulf with passenger rail and the economic opportunities that it brings.”

Passenger rail funding in the infrastructure bill: Building a national network

Passenger rail was one of the brightest spots in the new infrastructure bill, with $102 billion for passenger and freight rail projects through direct grants to Amtrak and competitive grant programs. Here’s what you need to know about this new money and the bill’s rail policy changes, and how they can be best used to expand and improve passenger rail service across the U.S.

Boarding the inaugural FrontRunner commuter train from Provo to Salt Lake. Flickr photo by Steven Vance.

When it comes to the new infrastructure bill, there was a lot of bad and ugly in the highway and transit sections, but passenger rail was by far the biggest winner, with over $102 billion set aside to invest in the expansion of reliable and frequent rail service and much needed changes to Amtrak’s mission and priorities that can put us on a path to a more robust national and regional passenger rail network. But the work is far from done. The ultimate verdict will rest on Amtrak and the Biden administration’s ability to get organized, engage with regional leaders, and then spend this historic money quickly and effectively.

promo graphic for a guide to the IIJA

This post is part of T4America’s suite of materials explaining the 2021 $1.2 trillion Infrastructure Investment and Jobs Act (IIJA), which governs all federal transportation policy and funding through 2026. What do you need to know about the new infrastructure law? We know that federal transportation policy can be intimidating and confusing. Our hub for the new law will walk you through it, from the basics all the way to more complex details.

What’s in the law?

New funding

Building upon the success of the FAST Act, which included passenger rail in a multi-year authorization for the first time (see p.4), the 2021 infrastructure law takes the biggest step forward yet to invest in the future of passenger rail in America. Congress increased rail funding by 750 percent over FAST Act levels with an increased focus on bolstering service on the national network and making needed investments to improve the Northeast Corridor. The law also made policy changes to several key grant programs, making them more attractive to eligible recipients.

$41.5 billion of the law’s $102 billion for rail will go to Amtrak, and a majority of those funds ($27.5 billion) will go to Amtrak’s national network. This is in stark contrast to how funding has been traditionally allocated, when passenger rail networks had to justify their existence by showing a high profit margin. In the FAST Act, the Northeast Corridor (Amtrak’s busiest and most profitable rail corridor from DC to Boston) received a larger share of federal funds.

This vital step will encourage more passenger rail and intercity rail expansion, giving more people in more places the ability to affordably travel, thanks in part to a recalibrated Amtrak mission to place customer experience and community connections over profits.

Policy changes

The law also makes a number of changes to improve the passenger experience. For the stations in many (mostly rural) parts of the country, there are no station agents available to answer questions, help riders purchase tickets, or check luggage. For those who do not have access to a computer or internet at home, not having a station agent at their local station means they cannot purchase a ticket or if they are elderly, do not have assistance to check luggage. A station agent will now be required at any location that has 40 or more passengers per day. From a service standpoint, the bill also prohibits Amtrak from discontinuing or cutting rural services as long as Amtrak receives at least baseline funding (i.e. the same amount of money they received last year) to operate service, preserving the national network.

Amtrak is also no longer required to provide food service with a profit margin. The old requirement to turn a profit on food put Amtrak in a position of either providing cheaper, nutrient poor food (i.e. junk food) or no food service at all. Access to good, nutrient rich food on passenger trains will drastically improve the rider experience, which will help increase ridership. 

When it comes to governance, Amtrak’s board of directors has traditionally drawn heavily from people that lived or had expertise in the Northeast Corridor, leading to a very lopsided investment and expansion strategy focused on northeastern passenger rail, often at the expense of better service elsewhere or a truly national network—the stated purpose of Amtrak. The infrastructure law changes the requirements and sets quotas for who can be appointed to the Board, enabling a more regionally diverse group of decision-makers that will more fully represent the interests of a truly national network. (Right now the board is functionally empty, with all board members serving expired terms. The Biden administration should have appointed a new board yesterday. More on that below.)

The law also directs funding to improve accessibility for all riders, especially those who may use assistive devices (wheelchairs, walkers, canes, etc.). It invests $50 million annually to help cover the additional costs that make the Railroad Rehabilitation & Improvement Financing (RRIF) program (a loan program for making capital improvements) more user-friendly and less financially onerous. This same RRIF program was also tweaked so that it can help finance transit-oriented development projects around passenger rail stations—a smart way to grow ridership. 

The law includes $50 million annually to the Restoration and Enhancement (R&E) grant program that provides funds to help operate passenger rail. The increase in funds can help subsidize the overall cost a state or locality may need to pay in order to cover the costs of operating new or existing passenger rail routes. As an example, the Gulf Coast rail project has long planned to use these R&E grants to support the new service as it gets off the ground for the first three years. A change in this law allows projects like this one to extend R&E funds over six years rather than the current three, allowing for a longer off-ramp to help cover operations costs. Lowering the financial burden that poorer states would need to contribute for service operations would significantly benefit their communities by connecting them to regional economic centers, healthcare, and educational opportunities. The law also allows Tribal entities to apply for R&E grants.

The law also creates the administrative infrastructure needed to expand passenger rail. It creates a new program that incentivizes up to ten interstate rail compacts—like the Southern Rail Commission at the center of Gulf Coast expansion—that are vital for developing and realizing a regional and national rail network. Interstate rail compacts are made up of contiguous states that want to establish a vision for and seek investments for intercity passenger rail in their region. (The final provisions were similar to a House proposal from Rep. Cohen, which we wrote about here.) The bill allows for these ten commissions to apply for up to $1 million annually to operate their respective commissions.

How else could the administration improve the rail program?

These rail provisions are worth celebrating, but in order for the nation to reap the benefits, the administration has much more work to do, and must take action quickly on several items. The work is not done, and if the administration is not proactive, they could squander the promise of this historic, once-in-a-generation investment in rail.

Their first step should be to immediately (it’s overdue) nominate a new board to lead Amtrak in accordance with the new law. We hope the administration will appoint a board that reflects the demographics of our nation and create a requirement that board members ride the three levels of service Amtrak offers on an annual basis (commuter, long-distance, etc.). The sooner the administration takes action on Amtrak’s Board, the quicker the American public can ride passenger trains in parts of the country that need it most.

The Federal Railroad Administration (FRA) should begin the process to stand up the new interstate rail compacts program, which is key to fostering the bottom-up growth of the national network. The FRA Administrator should convene those who have expressed interest in creating a compact to explain how to establish one, how the FRA can ensure their success, and how to maximize this new funding.

When it comes to awarding competitive grants such as CRISI, R&E, and others, the administration should be very careful with awarding grants to private sector passenger rail companies. Private sector passenger rail companies like the Brightline in Florida and Las Vegas are important components but are not essential to building the national network. While there are limited cases where private passenger rail can be additive to the national passenger rail network, it should remain the goal of the administration to connect communities, and we should not let the private sector reorient the goals and vision of the national rail network.

How can the new money advance our goals?

There are people across the country that are unable to experience everything their region or the country has to offer due to the barriers of long-distance travel. Not to mention the major greenhouse gas emissions that result from driving a personal vehicle or flying. Passenger rail can help bridge these equity gaps and achieve our climate goals.

Equity: For poorer Americans who live in rural areas, long-distance travel poses a number of financial obstacles to overcome. A regional airport that has commercial flights can often be a few hours’ drive away, require lengthy layovers, and charge expensive rates. And for many, driving long distances can be a challenge as well. The financial barriers of owning or renting a car are already extremely high for low-income families and the need to have and maintain a car that could sustain long hours of highway driving poses an even greater barrier to travel. Accessible passenger rail is an affordable option that can connect more people to regional economic hubs, educational opportunities, healthcare or even recreational activities. Passenger rail can boost local economies and create jobs for communities along a service route or who have a stop in their community. 

In a study conducted by the Trent Lott institute, the States of Louisiana, Alabama and Mississippi would bring in, at minimum, an estimated $107 million in economic output from restoring Gulf Coast passenger rail service. The funds from the infrastructure law should also be used to make platforms, train cars, and stations more accessible for all riders. The demand for rail service in this corridor is very high, as seen during the 2018 inspection train along this corridor.

Climate: While the overall law failed to prioritize climate change in a holistic way across all programs, passenger rail investments can be a powerful tool for reducing emissions. As mentioned above, investments in passenger rail can provide another viable alternative to car travel or plane travel which emit large amounts of dangerous pollutants. If travelers have affordable medium- to long-distance travel options, they will take advantage of those opportunities. This, however, requires a true investment in intercity passenger rail corridors throughout the country that work together to create a fully connected national network. The infrastructure law provides the money to make this happen, but it will be up to Amtrak and the Biden administration to get organized, engage with regional leaders, and then spend the money effectively.

So what?

There are ample opportunities for states, cities, localities and even advocates to help create our national rail network. There are multiple funding opportunities available for regions that, like the Gulf Coast, are working to reestablish and expand passenger rail service. Advocates can encourage their state to join or start an interstate rail commission or inform their state and local governments of the federal funding opportunities available.

An important note for advocates (that we will also address in detail in a future post about putting together strong applications for competitive grants): Strong local matching funds (ranging from 20 to 50 percent of project cost) are critical to winning these grants, and the process to raise these funds starts by engaging in state and local budget processes far in advance (6-9 months before the start of the fiscal year.) So advocates, this means you should engage agencies early and often on resource prioritization to realize transit projects.

Note: There are ample opportunities for the infrastructure law to support good projects and better outcomes. We have also produced short memos explaining the available federal programs for funding various types of projects. Read our memo about available funding opportunities for passenger rail projects.

If you have additional ideas for how to utilize these expanded programs, or have questions about the content listed here, please contact us. Our policy staff is eager to hear from you. 

Senate Commerce Committee proves that bipartisanship doesn’t have to equal terrible transportation policy

The Senate committee tasked with handling the rail portions of the larger transportation bill managed to produce a bipartisan bill that also makes the expansion of reliable, frequent rail service to more Americans a cornerstone of its approach. 

Residents of Pascagoula, MS outside the train station during the Gulf Coast Inspection Train several years ago

While the House writes their five-year transportation proposal all at once in one committee, the Senate breaks up the policy work between three committees. The Senators on the Environment and Public Works (EPW) Committee focused on bipartisanship at the expense of good outcomes for spending transportation dollars, but the Commerce Committee Senators, charged with passenger rail, safety, and a few other related issues, managed to be both bipartisan and set policy that will create a better, more effective transportation system.

Here’s a look at the good and the bad in the Surface Transportation Investment Act of 2021 before the committee considers it in full and likely votes on it this Wednesday, June 16.

The good: A national network of robust, passenger rail service is vital for the country’s future.

These Senators are proposing substantial steps to 1) expand, increase, and improve service, 2) focus on the entire national network (rather than just the northeast corridor), 3) encourage more local, ground-up coalitions of local-state partnerships for improving or adding new service, and 4) make it easier to finance projects and expand that authority to transit-oriented development projects. They also propose some important changes to the data we gather on safety across the entire transportation system, including our streets and roads.

Funding to expand/improve passenger rail service
When it comes to providing more funding overall for passenger rail, they propose $5 billion for the same program (Consolidated Rail Infrastructure and Safety Improvements) which provided $33 million for restoring Gulf Coast passenger rail, allowing many more communities to benefit from this program. (Current funding is about $350 million a year, or ~$1.75b over the life of the current law..)

They also provide $300 million for the Restoration and Enhancements grants that provide critical start-up operating support for new or expanded passenger service, and allow those funds to be used over six years instead of just three—recognizing that establishing new ridership on a line can take a few years. 

A lot of the country’s rail infrastructure is also badly in need of updates, and the bill proposes $1.5 billion to make long overdue repairs through what they call the Federal-State Partnership for Intercity Passenger Rail Grants for state of repair.

Amtrak
For the country’s passenger rail operator, they propose a small but vital shift in mission and goals to emphasize Amtrak’s role in providing service both to rural communities and in long-distance routes and a national network. To help make this happen, they will require representation on the Amtrak Board from the Northeast Corridor, state-supported routes and long distance routes. They’ll require Amtrak to post station agents at stations with at least 40 passengers a day (and require them to be able to sell tickets), making it easier for people to use and navigate the service in smaller towns. And lastly, they’ll prohibit Amtrak from discontinuing, reducing the frequency of, suspending, or substantially altering the route of any long-distance route if Amtrak receives adequate funding for that route. 

Duplicate the success of the Southern Rail Commission
A new grant program will authorize up to ten interstate rail compacts, including the Southern Rail Commission, which has been key to restoring passenger rail service on the Gulf Coast, and provide up to $1 million annually for each one. (This is double what the House provided for these commissions.)  Up to $1 million—which has to be matched 50/50 with local or state dollars—isn’t a huge sum but it would be hard to overstate the potential impact of creating nine more entities like the SRC to lay the groundwork and build the coalitions required to create or improve rail service in scores of other regions. (Read more about a similar House bill and the importance of these rail compacts here.)

Improving access to financing for rehab and improvement projects
A major challenge with rail rehabilitation and improvement (RRIF) projects has been not only securing financing, but incorporating the project’s credit risk (the cost of creating the loan). This bill proposes $50 million to help offset some of these credit risk insurance premiums on financing RRIF projects. 

Making it easier to finance transit-oriented development projects

More homes, offices, and retail near transit are in high demand, but because these big, complex projects are more difficult to finance than other types of conventional suburban development. The bill makes these projects (not just their rail components) permanently eligible for financing from the above RRIF program—something we’ve been working on for more than six years.  “The areas around our country’s passenger rail stations are often economic sleeping giants,” as T4America co-chair John Robert Smith said in this 2015 T4America story about a previous iteration of this idea. “Finding ways to finance and catalyze smart development in and around them is a proven strategy to boost local economies.”

Extra: Safety provisions
While most of the road and transit policy gets written by other Senate committees, the Commerce Committee also has jurisdiction over safety data and reporting, and they propose some notable changes. 

As chronicled in Dangerous by Design, federal data on who is being killed while using the transportation system—especially people who aren’t in a car—are incredibly limited. We don’t even know how many people are killed while trying to navigate unsafe streets in wheelchairs, for example, so the committee calls for new crash data systems to be able to distinguish bicycles, electric scooters, and wheelchairs. They propose a $200 million a year grant program for local governments to develop and carry out Vision Zero safety plans to prevent death and injury on our roads and streets. Perhaps most interestingly, they require the Secretary of Transportation to finally examine updating hood and bumper safety standards for cars and trucks with a focus on how they are affecting the injuries and deaths of pedestrians, bicyclists, or other vulnerable road users. While more needs to be done on this count (and it needs to be done far faster than the bill specifies), it’s a big deal to see a bipartisan bill finally start to call out this issue in legislation.

The bad, or opportunities missed

While the bill has a ton to praise, there are just a few missed opportunities worth noting and a few places where it falls short of what was in the INVEST Act in the House.

The bill doesn’t include two exciting rail investment programs proposed by the House.
The bill lacks any funding for the PRIME program, which is devoted to expanding and improving intercity passenger rail. The Senate proposal also lacks the Bridge, Tunnels and Safety grants which would fund major capital projects, rail bridges, stations, and tunnels that are publicly owned or owned by Amtrak. The House proposed $25 billion for each of these programs.

Just because projects are big or expensive doesn’t mean they are wise investments.
A new National Infrastructure Project Assistance program is designed to help fund projects of national significance that cost over $500 million or a large portion of small states’ transportation budgets. But while these projects are indeed hard to fund, this program is far too focused on costs and price tags, and only barely mentions any measurable things we want to accomplish. Just because projects are big doesn’t mean they are smart, and we should think about what they might do before providing money for them.

A new multimodal grant program like TIGER needs to provide more money for the best local projects.
A new program called Local and Regional Project Assistance is basically like a new $1.5 billion TIGER/BUILD/RAISE program for locals, but the $25 million cap is too low and should be raised to at least $75 million so that it doesn’t keep larger but worthwhile projects with good outcomes from applying. The program’s size is sufficiently large to both advance a few larger projects while also giving out a large number of grants to the best projects. As an example, in the first round of TIGER, there was $1.5 billion available with no cap, yet USDOT made 3 grants of around $100 million while still advancing 55 total projects.

A multimodal freight program should not presume that half of the country’s best freight projects are road projects.
The bill provides $1.2 billion for Nationally Significant Multimodal Freight Projects, but for some inexplicable reason, this bill caps the funding for truly multimodal projects at only 50 percent of the program—basically earmarking 50 percent for highway projects, before they’ve ever seen a proposal or spent a dime. 

Why in the world is the committee with multimodal jurisdiction—rail, ports, and pipelines— and no jurisdiction over the highway part of the bill so intent on giving money to highway projects? And these are not gas tax dollars subject to the trust fund—this is a discretionary program using general tax dollars. Lose the cap entirely on multimodal projects and just select whatever projects will accomplish the most with the money.

Statement on Surface Transportation Board’s expanded capacity

press release

A statement from Transportation for America chairman and former mayor of Meridian, MS, John Robert Smith, on the Surface Transportation Board (STB)’s recently expanded capacity: 

“Transportation for America commends the Surface Transportation Board for creating a new passenger rail desk to expedite slow decision-making that often impedes the expansion of reliable passenger rail service. While freight railways are critically important to our nation’s logistics network and the effort to reduce transportation emissions, these companies too often serve as a hurdle to delivering passenger rail that meets 21st century needs. 

“Although Congress gave Amtrak the right to operate passenger trains over all freight right-of-way, many freight railroads have simply said ‘no’ to proposed passenger service. Amtrak’s only hope for resolution laid at the STB.

“Slow STB decisions—due to limited capacity—benefit those standing in the way of passenger rail in the long-term, and end up discouraging many areas from even considering passenger rail as a solution to mobility needs. We are happy to see the STB take steps to address this problem and hope to see more and more reliable passenger rail as a result.” 

Congress to pass billions in much-needed relief for public transit and Amtrak

Today, Congress will take a big step towards recovering the United States’ essential public transit and passenger rail network from the pandemic with a $1.9 trillion stimulus package. The bill—soon to be voted on in the House and signed into law by President Biden—includes $30.5 billion in emergency relief for public transit and $1.7 billion for Amtrak. 

Riders waiting to board a MARC train at Baltimore’s Penn Station. Photo by Elvert Barnes on Flickr’s Creative Commons.

We’ve been researching, organizing, blogging, tweeting, meeting, rallying, advising, and even meme-ing about it for a year now: COVID-19 has thrown public transportation and passenger rail into crisis. 

With revenue from fares and taxes declining, the operating budgets of these essential public goods have been running on fumes. The threat of permanent service cuts grows ever more serious by the day—despite the fact that public transit has been essential to our pandemic response. Limited funding even forced some transit agencies to consider service cuts as soon as this spring, mere months after the last infusion of emergency relief was passed in December. 

Today, the House of Representatives will pass much-needed emergency funding that greatly reduces the threat of service cuts. The bill, known as the American Rescue Plan Act, includes $30.5 billion for public transit and $1.7 billion for Amtrak. 

“Public transportation and passenger rail are essential to every aspect of American life. We’re thrilled that Congress understands this and is legislating accordingly,” said Beth Osborne, director of Transportation for America. “The American Rescue Plan means that cities and towns will not reopen without transit and rail operating, and ensures that essential workers and riders counting on transit to reach jobs, healthcare, groceries, and other services throughout the pandemic will have these vital connections.”

The emergency funding for public transit includes much-needed operating funds and emergency funding for Capital Investment Grants (CIG), the main transit construction program. Senators increased the amount of funding House legislators provided for CIG by $250 million. 

We consider the $30.5 billion for transit as a significant down payment towards the $39.3 billion in emergency assistance required to truly secure public transit from this crisis. The American Public Transportation Association found in an independent economic analysis that $39.3 billion is the amount needed to avoid service cuts and layoffs through summer 2023. The $30 billion provided in the American Rescue Plan will prevent cuts through 2022. We urge Congress to pass an additional $9.3 billion for transit in subsequent legislation. 

But public transportation needs more than emergency funding to charge an equitable and sustainable economic recovery from COVID-19. Investment in public transit has long been undermined by a federal transportation program that overwhelmingly funds new and wider highways, limiting the impact of transit investments and the amount of funding transit even receives. 

With the light finally at the end of our pandemic tunnel, and with long-term federal transportation policy expiring this year, it’s time for Congress to make public transit and passenger rail a cornerstone of our transportation program: not an afterthought that only receives 20 percent of federal funds. 

Everything we liked (and didn’t like) at Buttigieg’s Transportation Secretary confirmation hearing

Last Thursday, former South Bend mayor Pete Buttigieg faced the Senate for questioning on his nomination to be Secretary of Transportation. We liked almost all of his answers, and we weren’t alone: Senator Tester said Buttigieg’s testimony was “refreshing.” Here’s what T4America liked and didn’t like from Buttigieg’s confirmation hearing. 

Former South Bend mayor Pete Buttigieg facing the Senate Commerce, Science and Transportation Committee as President Biden’s nominee to be Secretary of Transportation. Screen grab from C-SPAN.

✅ Complete Streets is a priority for Buttigieg

When answering a powerfully-worded question from Senator Schatz (D-HI), a cosponsor of the Complete Streets Act, Buttigieg confirmed his commitment to a Complete Streets approach. He even highlighted the Complete Streets projects that took place in South Bend. (Smart Growth America provided technical assistance to South Bend to pursue Complete Streets demonstration projects.)

“It’s very important to recognize the importance of roadways where pedestrians, bicycles, vehicles, any other mode can coexist peacefully. And that Complete Streets vision will continue to enjoy support from me if confirmed,” Buttgieg said. 

✅  Our “autocentric view” is a problem

Doubling down on his commitment to Complete Streets, Buttigieg noted that transportation in the United States overwhelmingly prioritizes cars. “There are so many ways that people get around, and I think often we have an autocentric view that forgets historically all of the other different modes,” Buttigieg told Sen. Klobuchar (D-MN). “We want to make sure that every time we do a street design that it enables cars, bicycles, and pedestrians, and businesses and any other mode to coexist in a positive way. We should be putting funding behind that.” 

✅  Addressing past damages is a priority 

Transportation infrastructure—particularly urban highways that have demolished and divided communities of color—is sometimes a major roadblock to improving equity in this country. Buttigieg knows this and told senators so in his opening remarks. “I also recognize that at their worst, misguided policies and missed opportunities in transportation can reinforce racial and economic inequality, by dividing or isolating neighborhoods and undermining government’s basic role of empowering Americans to thrive,” Buttigieg said

✅  Policy hasn’t kept up with automated vehicles 

Automated vehicles (AVs) is one of the transportation technologies that often captures lawmakers’ imagination. But in response to Sen. Fischer (R-NE), Buttigieg acknowledged that the federal government has failed to provide the leadership necessary to ensure that AVs actually deliver the benefits they promise. “[AV technology] is advancing quickly and has the potential to be transformative, but in a lot of ways, policy hasn’t kept up,” Buttigieg said. 

This couldn’t be more true. After investigating deaths from two separate AV crashes, the National Transportation Safety Board (NTSB) billed the utter lack of federal safety performance standards as one of the causes for the fatalities. 

But proactive federal policy is needed for more than just ensuring that AVs are safe. Policy is needed to ensure that AVs are equitable, accessible, and sustainable. That’s why we joined Advocates for Highway and Auto Safety and other partners in creating tenets for AV policy. 

✅  He supports passenger rail

Buttigieg said he’s the “second biggest enthusiast for passenger rail in this administration,” referring of course to President Biden, a long-time rider and fan of Amtrak, as the first.  “Americans deserve the highest standard of passenger rail,” Buttigieg said. 

When Sen. Roger Wicker (R-MS)—a major supporter of restoring passenger rail to the Gulf Coast—asked Buttigieg if he’s a rail rider himself, Buttigieg said he enjoys short rail trips “and long ones too.” In light of Amtrak’s proposal to cut its long-distance network, this might signal Buttigieg’s support for those critical routes.  

✅  The BUILD program should be easier to apply for

The U.S. Department of Transportation (USDOT) offers a host of grant programs for cities and towns to construct and maintain transportation infrastructure. But the application process is often daunting for smaller entities. As mayor of a small city that wasn’t able to have “full-time staff managing federal relations,” Buttigieg told Sen. Wicker (R-MS) that making BUILD and INFRA grants easier for small and rural municipalities to apply for are one of his priorities. 

“It’s very important to me that this process is user-friendly, that criteria are transparent, and that communities of every size, including rural communities and smaller communities, have every opportunity to access those funds,” Buttigieg said. 

✅  Senators on both side of the aisle support Buttigieg

Buttigieg felt the love from both sides of the aisle during his confirmation hearing, with Sen. Tester (D-MT) going as far to say that Buttigieg’s testimony should serve as a model for other nominees facing Senate approval. Sen. Wicker (R-MS) listed Buttigieg’s accomplishments in his opening statement, praising his “impressive credentials that demonstrate his intellect and commitment to serving our nation.”

With slim Democratic majorities in both the House and Senate, bipartisanship will be key to passing surface transportation authorization. But historically, infrastructure is one the areas where lawmakers bipartisanly agree to pass bad policy—rather than ruffling feathers and taking a hard look at what the federal government spends money on and why. (We blogged about it here.) It will take lots of work—like the herculean effort the House underwent this summer to pass a new kind of transportation bill—to make sure that the long-term transportation bill lawmakers must pass this year actually connects funding with the outcomes Americans want.

🚫 His climate answer only mentioned electric vehicles 

When Sen. Schatz asked about Buttigieg’s approach to climate change, Buttigieg only discussed electric vehicles, charging infrastructure, and increased vehicle fuel efficiency as a solution. Yet it’s a fact that electric vehicles and improved fuel efficiency—while critical—aren’t enough to reduce transportation emissions on their own. 

While we applaud Buttigieg’s support of President Biden’s “whole government” approach to addressing climate change (meaning that climate work isn’t confined to a single department like the EPA), we need Buttigieg to understand that USDOT needs to do more than invest in electric vehicles as a climate solution.

We like what we heard. Now let’s make sure it happens 

Buttigieg might be one of the most promising new Secretaries of Transportation that we’ve seen, but we must hold him accountable to following through on these initiatives. Now is not the time to lay back: we have a lot of work to do to ensure that USDOT does what it can internally to connect transportation funding to the outcomes Americans want (like our three principles) and that Congress passes a long-term transportation bill that ends decades of broken, misguided policy.

RELEASE: The emergency funding for transit and Amtrak is good but not enough

press release

Late Monday evening, Congress passed appropriations for fiscal year 2021 that included $908 billion in a supplemental COVID-19 relief package. Transportation for America and our partners the Alliance for a Just Society, NRDC, and U.S. PIRG released this statement:

WASHINGTON, DC: The Alliance for a Just Society, the Natural Resources Defense Council (NRDC), U.S. PIRG, and Transportation for America are happy to see Congress make a critical downpayment of emergency funding for public transportation in the coronavirus supplement to FY 2021 appropriations. Millions of riders—including essential workers—rely on transit to reach jobs, groceries, healthcare, COVID-19 testing centers, and soon vaccination sites. Additionally, 60 percent of transit riders are people of color. We appreciate that lawmakers on both sides of the aisle recognize the crucial role that transit plays in our economy and COVID-19 response. 

However, this bill’s $14 billion for transit is less than half of what transit needs to survive—and it won’t be as effective as it should be because it is being provided through a short-term, halting approach. Many transit agencies could assume that they will not receive additional relief in time to prevent devastating service cuts and layoffs when this funding runs out in a few months. Transportation costs more and works less well when funded in short-term chunks.

This bill also gives state departments of transportation $10 billion in flexible emergency relief. We encourage governors and state legislatures to work with their transportation departments to use this funding to support essential workers, improve access to work and essential services for people whether they have access to a car or not, reduce greenhouse gas emissions, and reduce the impact of the transportation system on neighboring communities, especially Black and brown communities. 

Transportation for America appreciates the $1 billion in emergency funding for Amtrak in this bill, but this too is short of the $2.5 billion Amtrak needs to survive this crisis. Passenger rail provides critical connections for rural communities and big cities alike—losing reliable Amtrak service will massively hinder our economic recovery. 

We’re glad to see lawmakers from communities large and small, blue and red recognize the importance of transit to our pandemic response and economic recovery in this relief package. And we look forward to working with Congress in the new year to secure long-term, reliable transit funding that is necessary for a robust and equitable economic recovery.