United States Government Publishing Office publisher pbl distributor dst United States Government Accountability Office Resources, Community, and Economic Development Division author aut Government Organization text government publication eng GAOREPORTS Legislative Agency Publications gao legislative 2010-08-12 U.S. Government Printing Office 1995-02-07 monographic deposited born digital GA 1.13:T-RCED-95-98 https://www.govinfo.gov/app/details/GAOREPORTS-T-RCED-95-98 P0b002ee1803808a5 f:trc95098 DGPO 2010-08-12 2011-03-23 GAOREPORTS-T-RCED-95-98 machine generated eng fdlp REPORT GAOREPORTS-T-RCED-95-98 T-RCED-95-98 Railroad transportation operations Differential subsidies Losses Equipment maintenance Maintenance costs Federal aid to railroads Repair costs Railroad industry Financial management Amtrak Northeast Corridor Testimony RCED Amtrak's financial condition, always precarious, has declined steadily to the point that its ability to offer service over its existing 25,000 mile system is seriously threatened. It is unlikely that Amtrak can overcome its problems in financing, capital investments, and service quality without significant increases in passenger revenues or subsidies from federal, state, and local governments. In recent years, Amtrak has responded to deteriorating conditions by taking on debt, deferring maintenance, and cutting staff. Some of these measures have diminished the quality and reliability of Amtrak service. In December 1994, Amtrak announced an aggressive plan to reduce expenses by $430 million annually by eliminating routes, retiring its oldest cars, cutting staff, and improving productivity. Although this plan is an aggressive first step, it will not solve the railroad's long-term problems. Amtrak and the federal government face hard choices. GAO believes that continuing the present course--maintaining the same funding level and route system, even with proposed service cuts--is neither feasible nor realistic because Amtrak will continue to deteriorate. GAO discusses the implications of several alternatives, ranging from privatization of the railroad to limiting service to routes that carry the largest number of passengers in the most cost-effective manner. https://www.govinfo.gov/content/pkg/GAOREPORTS-T-RCED-95-98/html/GAOREPORTS-T-RCED-95-98.htm GAO/T-RCED-95-98 https://www.govinfo.gov/app/details/GAOREPORTS-T-RCED-95-98 Testimony GAO/T-RCED-95-98; Amtrak: Deteriorated Financial and Operating Conditions Threaten Long-Term Viability; Railroad transportation operations Differential subsidies Losses Equipment maintenance Maintenance costs Federal aid to railroads Repair costs Railroad industry Financial management Amtrak Northeast Corridor