GOP targets Amtrak
Platform calls for privatization
WASHINGTON – Warning to Amtrak from Mitt Romney and Republicans: You’re on your own.
The platform Republicans adopted at their convention included a call for full privatization and an end to subsidies for the nation’s passenger rail operator, which gobbled up almost $1.5 billion in federal funds last year.
“It is long past time for the federal government to get out of the way and allow private ventures to provide passenger service,” the platform said, arguing that taxpayers dole out almost $50 for every Amtrak ticket.
Amtrak is among a number of transportation functions Republicans say should be turned over to the private sector.
For President Barack Obama, Amtrak symbolizes a communal investment in the American infrastructure that enables and catalyzes economic growth. For Romney, who built a career mending the balance sheets of unprofitable companies, dropping Amtrak fits neatly into his message of doing away with spending that government can’t afford.
On Monday, Amtrak announced it had set monthly ridership records in each of the past 11 months, with expectations of a 12th in September.
Even with a record 30 million passengers boarding its trains last year, Amtrak operated at a net loss of more than $450 million. The government pitched in $562 million to keep Amtrak in the black. And that’s just on the operations side, where Amtrak says it covers about 85 percent of its own costs through ticket fares and fees. When it comes to capital costs, like keeping train tracks up, the government foots almost the entire bill, costing taxpayers about $650 million in 2011.
Leading the Republican charge that the U.S. can’t bear the continued hemorrhaging is Rep. John Mica, R-Fla., who chairs the House Transportation Committee. Mica said he’ll hold a hearing a month on Amtrak. A session today is to focus on Amtrak’s “monopoly mentality” on commuter rail. While recognizing the need for a central entity to coordinate routes nationwide, Mica said the government has no place handling Amtrak’s day-to-day operations. But he acknowledged that some less profitable routes can’t get by without some subsidies.
“I’m for the privatization, and if we can end them, we can,” Mica said.
© Copyright 2012 Associated Press. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.