Thursday, January 21, 2010

This Week at Amtrak; January 21, 2010

This Week at Amtrak; January 21, 2010

A weekly digest of events, opinions, and forecasts from

United Rail Passenger Alliance, Inc.

America’s foremost passenger rail policy institute

1526 University Boulevard, West, PMB 203 • Jacksonville, Florida 32217-2006 USA

Telephone 904-636-7739, Electronic Mail info@unitedrail.orghttp://www.unitedrail.org

Volume 7, Number 3

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1) After his death, famed and talented architect Daniel Hudson Burnham, the designer of Amtrak’s headquarters building, Washington Union Station, was quoted as having said, “Make no little plans. They have no magic to stir men’s blood and probably will not themselves be realized.”

Amtrak, not taking the sage advice of the late Mr. Burnham, released its plan for 2010 last week. We will return to that topic in a moment. First, though, Amtrak has come up with something so incredibly naive, and tin-eared towards its own employees, it’s impossible for rational people to fathom.

2) One of the good points of Amtrak through the years has been its nationwide network of local personnel offices, or, in the modern vernacular, offices housing human resources (or, even human capital) workers.

Whatever term you choose to use, the people working in these offices are the front-line interface for Amtrak employees on all levels, from new hires to veteran employees looking for information about retirement plans. These offices are staffed with managers and clerks, and very much put a necessary human face on a crucial part of the corporation.

Some genius in Washington has decided they can “improve” this by closing all of the local HR offices, and consolidating all HR operations in a call center located (where else, but?) Wilmington, Delaware. The current employees, few if any who elected to move to Wilmington (Why would anyone living in a large city want to move to an Eastern second-tier city like Wilmington?), will either leave the company (taking with them their collective experience, knowledge, and wisdom), or transfer into any other available jobs on their current level or lower level.

Amtrak employees, instead of dealing face to face with a knowledgeable person, will now deal with a new hire over the telephone, most of which will only know about Amtrak HR rules and regulations based on what they read in a manual.

Amtrak will tell you this is being done in the name of efficiency and consistency. The real reason is this is just another example of an Amtrak senior manager with a wild idea who is out of control and refusing the deal with reality. Anybody taking bets on how long this latest scheme will last before sanity returns and all of those closed offices will suddenly be reopened and restaffed at great expense, without the benefit of the many employees there today who have found other jobs?

3) Here’s Amtrak’s press release about its plans for 2010. We’ve been moaning for months asking Amtrak to come up with some sort of plan – ANY sort of plan – for the future. Well, they did. It’s a good start, but here’s hoping this is only the barest of beginnings.

[Begin quote]

Press Release

January 11, 2010

AMTRAK READY WITH BIG PLANS FOR 2010

New Year brings major projects and new initiatives

WASHINGTON— Amtrak is ready for an exciting 2010 with major projects and new initiatives that will benefit passengers, increase service, rebuild infrastructure, and put America’s railroad at the center of intercity and high-speed passenger rail development and expansion.

“Amtrak enters 2010 with a strong sense of optimism, enthusiasm and purpose,” said President and CEO Joseph Boardman. “We have an aggressive game plan to modernize, renew, and grow America’s passenger railroad,” he said, noting increasing ridership from 21.6 million in FY 2002 to 27.2 million in FY 2009, with an all-time record of 28.7 million in FY 2008.

He explained that numerous projects and initiatives being undertaken in 2010 support goals established in Amtrak’s new Strategic Guidance including becoming safer, greener and healthier and improving financial performance, customer service, and meeting national needs.

In particular, Amtrak is playing a major role in the development and expansion of intercity and high-speed passenger rail. As America’s provider of intercity passenger rail service and its only high-speed rail operator—operating trains at speeds up to 150 mph every day— Amtrak has unmatched knowledge, experience and expertise in the U.S. rail environment.

Boardman added that Amtrak is partnering with 25 states in support of more than 100 projects submitted for funding from the $8 billion made available by the American Recovery and Reinvestment Act (ARRA) for intercity and high-speed rail capital improvement grants. An announcement from the U.S. Department of Transportation on which projects have been selected is expected this winter.

During 2010, Amtrak also will undertake track and bridge construction projects, safety and security enhancements, and will release a plan to replace and expand its locomotive and passenger railcar fleet, among many other projects and initiatives.

Following are highlights of major activities Amtrak will begin, continue or complete during the coming year.

High-Speed Rail

In 2010, Amtrak will celebrate the 10th anniversary of America’s fastest train, the Acela Express, which began operating along the Northeast Corridor in 2000 and reaches speeds up to 150 mph. In addition, Amtrak will increase train speeds to 105 mph over a section of track it owns between Porter, Ind., and Kalamazoo, Mich., which will benefit Blue Water and Wolverines service. Amtrak currently operates nearly half of its more than 300 daily trains at speeds of 100 mph or higher on their routes.

Deploy WiFi and Upgrade Interiors on Acela Express

In March, Amtrak will deploy WiFi technology on Acela Express and make it available to every passenger initially free of charge. In late 2010, Amtrak will complete a program to upgrade the interior of all Acela Express trainsets to increase passenger comfort and amenities, including leather seating, improved tray tables, and better outlets to power laptop computers, DVD players and other electronic devices.

Major Infrastructure Improvement Projects Funded by ARRA

Many major Amtrak infrastructure improvement projects funded in full, or in part, by $1.3 billion in ARRA funds will be under construction in 2010. Some of these projects include: replacement of the 102-year old movable bridge over the Niantic River in Connecticut; modernization of transformers and other electrical equipment used to power trains between Washington, D.C. and New York; improvements to tracks and switches at Chicago Union Station; and construction of new maintenance buildings for passenger railcar equipment in Los Angeles, Calif., and Hialeah, Fla.

In addition, ARRA funding is supporting: renovation of the station in Wilmington, Del.; expansion of the Auto Train station in Sanford, Fla.; restoration of locomotives and passenger railcars in Beech Grove, Ind., and Bear, Del.; improved emergency exits and fire detection and suppression systems in New York tunnels; and enhanced accessibility at more than 200 rail stations across the country.

Major Infrastructure Improvement Projects Funded by Annual Engineering Program

Beyond the ARRA funded projects, Amtrak will spend $442 million as part of its annual FY 2010 engineering program. Among these projects include: installation of more than 112,000 concrete crossties and more than 49,000 wood crossties on the Northeast Corridor; construction of a new air ventilation shaft for the New York tunnels; and repair to several bridges in Michigan, Maryland, New York and New Jersey.

In addition, Amtrak will: complete the multi-year modernization of the catenary wires on the Hell Gate Line in N.Y.; begin construction of upgrades to the Seattle maintenance facility; and improve accessibility at stations in Philadelphia, Pa., Baltimore, Md., Providence, R.I. and elsewhere.

New Plan to Replace and Expand Fleet of Locomotives and Passenger Railcars

Amtrak will announce a comprehensive and detailed plan to replace and expand its fleet of locomotives and passenger railcars to enhance current service and accommodate expected future growth. It will include the purchase of several hundred single-level and bi-level long distance passenger railcars and more than a hundred locomotives. This major equipment purchase will support American rail manufacturing industries and create jobs in the U.S.

Long-Distance Routes, Corridor Services and Commuter Contract

Amtrak will undertake an in-depth evaluation of the poorest performing long-distance routes to identify and implement changes where possible to improve key measures such as customer service, ridership, and financial performance. The five routes being analyzed are the Sunset Limited, Cardinal, Texas Eagle, Capitol Limited, and California Zephyr.

Also, Amtrak will expand corridor services in collaboration with state partners. In Virginia, a fifth Northeast Regional train will operate between Richmond and Washington, D.C. In North Carolina, a second Piedmont roundtrip between Raleigh and Charlotte will be added. In Washington, a second Amtrak Cascades train is now operating from Seattle to Vancouver, British Columbia through the duration of the 2010 Winter Olympics and Paralympics Games. In addition, Amtrak is finalizing a new operating contract with the Los Angeles-based Metrolink commuter rail service to provide train and engine crews for all seven of its lines.

Installing Positive Train Control and Enhancing Safety

Amtrak is committed to an aggressive, self-imposed schedule to install Positive Train Control (PTC) by the end of 2012—three years ahead of a Congressional deadline for the rail industry— on sections of Amtrak-owned tracks not already equipped with the sophisticated technology capable of controlling train movements to prevent collisions. A significant amount of design, engineering, and some installation work will occur this year to advance the project. Amtrak is also implementing two industry-leading risk-reduction safety initiatives to complement traditional rules-based compliance programs. The Safe-2-Safer program strengthens the emphasis on safety within the corporate culture by promoting a more collaborative working environment and ensures a higher reliability of safe behaviors at all levels of the railroad.

In addition, Amtrak intends to participate in a Federal Railroad Administration sponsored Close Call Reporting project under which incidents that did not result in an accident or injury, but could have, can be anonymously reported by employees so that safety improvements can be made as appropriate.

Strengthening Security

Amtrak passengers will see a more interactive police and security presence in 2010 with greater emphasis on random and unpredictable patrols, baggage screenings and other activities In stations and on trains. Amtrak will continue to expand its K-9 explosive detection teams, harden stations and strengthen cooperative inter-agency operations with local, state, and federal law enforcement and counterterrorism partners.

About Amtrak

As the nation’s intercity passenger rail operator, Amtrak connects America in safer, greener and healthier ways. Last fiscal year (FY 2009), the railroad carried 27.2 million passengers, making it the second-best year in the company’s history. With 21,000 route miles in 46 states, the District of Columbia and three Canadian provinces, Amtrak operates more than 300 trains each day—at speeds up to 150 mph—to more than 500 destinations. Amtrak also is the partner of choice for state-supported corridor services in 15 states and for several commuter rail agencies. Visit Amtrak.com or call 800-USA-RAIL for schedules, fares and more information.

[End quote]

Let’s take it from the top. Amtrak has a new promo line which it has worked into the first four paragraphs and into the end corporate identification piece: “Amtrak operates more than 300 trains each day – at speeds up to 150 mph – to more than 500 destinations.” It also added in the fourth paragraph, “Amtrak has unmatched knowledge, experience and expertise in the U.S. rail environment.”

Sure, Amtrak does operate more than 300 trains a day, and sure, some at speeds up to 150 M.P.H., but, let’s be completely honest here. Amtrak’s few Acelas on the Northeast Corridor operate at speeds up to 150 M.P.H. on considerably less than 100 miles of specific track, not the hundreds of miles other high speed trains operate daily in the rest of the world.

And, the second statement about Amtrak having unmatched knowledge, experience and expertise in the U.S. rail environment, well, compared to what, or who? More than the operators of the various regional/commuter systems around the country? More than the freight railroads have, all of which manage to operate in all weather conditions when Amtrak can’t quite find its way through winter weather in January?

All of this obviously is designed to move Amtrak psychologically into a superior position with decision makers who will be determining which company – Amtrak, the French, the Japanese, the British, the Germans, and whoever else is qualified and interested – will be the operator of the coming high speed rail lines.

Any decision maker worth their salt are going to be looking at a number of factors, including how good of a steward Amtrak has been through the years of the tens of billions of dollars it has received from various government treasuries, and how well it has performed on maintaining its motive power and rolling stock fleets, as well as managing infrastructure and real estate assets. Good decision makers are not only going to be looking at what Amtrak is doing right this minute, but also what it has done in the past and what type of corporate culture it harbors. And, these guys think they’re the best choice? Ask the folks who are still peering down the track, waiting for a Sunset Limited east of New Orleans to arrive, and you may get an earful about how good Amtrak is working on behalf of passengers and taxpayers.

Now, specific sub-headlines in the press release above, after high-speed rail:

Deploy WiFi and Upgrade Interiors on Acela Express

The WiFi deal has gotten a lot of press, and it’s a good thing. Upgrading the interiors on Acela trainsets is due; it’s been 10 years now, and the folks (all who have mercifully left Amtrak) who made the choices for Acela interiors and paint scheme colors pretty well flunked “Introduction to Design 101.” If the rocking the train doesn’t make you queasy, the interior decorations will.

Major Infrastructure Improvement Projects Funded by ARRA

This is all old news; lots of things which need to be done and will help the aesthetics of the company, but won’t do much to increase revenues, with the exception of the out of service locomotives and cars which will be rehabbed. One has to seriously wonder, with all of the goodies handed out in the stimulus plan, why Amtrak chose to only upgrade part of its out of service fleet; why didn’t it go for the whole group while it had the chance?

Major Infrastructure Improvement Projects Funded by Annual Engineering Program

See above; same song, different verse.

New Plan to Replace and Expand Fleet of Locomotives and Passenger Railcars

This is the part that has sent the hearts of many a rail fan aflutter. We’re told no details until February, but lots and lots has been read into this statement. This could be a very good thing, but, at the moment, there are no known plans for expansion, other than the route studies completed last year which will require billions of dollars to make happen.

And, the big concern is Amtrak is going to follow its path from the past, and retire aging equipment rather than keep it in service for expansion. If we have another fiasco like the replacement of the Heritage sleeping cars with the Viewliner fleet (where something like two or more Heritage cars were taken out of service for every one Viewliner car put into service), then Amtrak’s long distance system is likely to shrink to even more depressing levels than it is today.

Again – and, again, and again – VIA Rail Canada is happily restoring equipment which is more than 50 years old and was originally built like battleships. VIA is using this equipment on its premier trains, and charging even bigger bucks than Amtrak charges for the privilege of riding a train. If Amtrak makes the huge mistake of shrinking its fleet with the acquisition of new equipment instead of expanding its fleet and keeping existing equipment, then we may as well all go home, for Amtrak will have nothing as a future.

Long-distance Routes, Corridor Services and Commuter Contract

Hopefully, Brian Rosenwald is going to be the man in charge of the next round of upgrades (actually, in some cases, more like restoring what was there 10 years ago and was lost) to long distance trains. We’ve already seen results like the restored full dining car service on the Lake Shore Limited and the plan to take the western end of the Sunset Limited daily (still not the best plan, but a step in the right direction).

The next group of trains is going to be the Sunset Limited (continuing from the last group), Cardinal, Texas Eagle, Capitol Limited, and California Zephyr.

The Sunset and Eagle parts are already in the works; we’re still hoping for a new name, such as the historic and charming “Golden State” from the Southern Pacific/Rock Island days. The pedestrian Texas Eagle name needs to be retired.

For the Cardinal, this much abused but highly scenic route must be taken from its abysmal tri-weekly schedule to a healthy daily schedule. Time is not a crucial factor on this route; scenery is. Better scheduling on the eastern end, perhaps a companion daytime service between Cincinnati and Washington or New York along with making the Hoosier state a daily train on its own, and a full dining car and more sleeping car space will make this train a winner. In Fiscal Year 2009, the Cardinal had a 56% load factor; pretty amazing considering it’s so ignored by Amtrak.

The Capitol Limited and California Zephyr are already good trains; give them the Empire Builder and Coast Starlight amenities and onboard services treatment and it will be impossible to find space on these trains because they will become more popular than ever. In Fiscal Year 2009, the Capitol had a 68.9% load factor (technically, sold out), and the Zephyr had a 52.4% load factor; plenty of room for improvement.

Amtrak talks about expanding state corridor service, at the expense of states, naturally. Both Virginia and North Carolina will see more service, and Washington State already has more service in time for the Olympics in Vancouver, British Columbia. The North Carolina companion frequency to the Piedmont round trip between Charlotte and Raleigh will be the train to watch; the Piedmont has a load factor of 40.3%, hauling 68,400 passengers last fiscal year. The train was created to provide relief to the popular and well-performing Carolinian, which has a 74.5% load factor and carried 277,700 passenger last fiscal year. Adding a third frequency between the Charlotte-Raleigh city pairs should prove to be worthwhile; part of that route is also served during nighttime hours by the Silver Star.

Amtrak also noted it is finalizing details for taking over the Metrolink commuter service in and out of Los Angeles; it’s getting back a contract it lost several years ago.

Installing Positive Train Control and Enhancing Safety

Every railroad is talking about this unfunded federal mandate to have PTC in place by 2015; Amtrak is planning to have its system in place by 2012. Most likely, the rest of the railroads in the country would like to have the help from the federal treasury Amtrak is receiving to install PTC.

Strengthening Security

Amtrak talks a bit about increased security measures and baggage screening; all good things.

4) Amtrak did come out with a plan, and it’s a good start, albeit a too small start. We need to see more route expansion plans, and we need to see the same emphasis from Amtrak on its core business of conventional rail as we see on the dream of high-speed rail.

The only way Amtrak is going to survive is to grow, and the best growth potential is in the national system, not short, expensive state corridors. Amtrak has the opportunity; it needs to make the best of what it has been handed.

Still unanswered are the big questions: What new routes? What about revenue expansion? What about filling up the existing trains? (Amtrak’s system wide load factor for FY 2009 was only 49.3%; abysmal by any measure.) What is Amtrak doing to contain costs? What about the existing equipment sitting in the weeds on the wreck line; when will it be fixed and put back out on the road to earn revenue? When is Amtrak going to stop being America’s greatest kept secret?

5) This week’s special election in Massachusetts for the replacement of the late Senator Edward Kennedy morphed into a stunning finale. Republican Senator-Elect Scott Brown ended the Democrat’s lock on passing any legislation party leaders want in Washington.

Why is this important? Because Amtrak cannot expect an unfettered flow of funds with a more level playing field in Washington. Amtrak is going to have to go back to being able to prove its need, and prove its worth to convince not only all of the Democrats, but some of the Republicans, too, that federal monies spent on Amtrak are monies well spent.

6) The first This Week at Amtrak of the year earlier this month zeroed in on Amtrak’s failure to keep the Empire Builder running across the western northern tier of the country just south of the Canadian border through difficult weather conditions in January.

The response from TWA readers was overwhelming, and the interesting part was all of the excuses made on behalf of Amtrak from those in Amtrak’s Amen Corner.

One writer noted that VIA Rail Canada kept its trains moving because it had a different brand name of locomotive (never mind, that in most cases, Amtrak and VIA locomotives are nearly identical), perhaps inferring some locomotives are not supposed to operate in cold weather?

Another writer, noting he was writing as a political scientist, opined that perhaps Amtrak was misbehaving badly and not making plans for the future and itself because the poor dears were so beaten down by the Washington bureaucracy they just couldn’t summon up the courage for a good fight and ask for what they really needed. Maybe the reader wants to leave the light on at night, too, for Amtrak when its dark outside.

But, most writers seemed incredulous that over 125 years after passenger trains began operating in that part of the country in frigid weather conditions, and nearly 40 years after Amtrak began operations, it can’t figure out how to deal with cold weather.

Again, these are the same people who dream they will be entrusted with the new high-speed rail systems?

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J. Bruce Richardson

President

United Rail Passenger Alliance, Inc.

1526 University Boulevard, West, PMB 203

Jacksonville, Florida 32217-2006 USA

Telephone 904-636-7739

brucerichardson@unitedrail.org

http://www.unitedrail.org

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