Further Improvements Are Needed in Amtrak's Passenger Service Contracts, But They Won't Come Easily

摘要

Amtrak has made significant improvements in its contracts with other railroads for services that are essential for operating Amtrak trains. Further revisions in contract provisions are needed to provide better incentives for the railroads to operate the trains on time and to hold the line on costs. The railroads have generally not agreed to Amtrak's proposals for changing the contracts and Amtrak has limited options in this situation. The legally prescribed process for resolving such disputes--taking them to the Interstate Commerce Commission--has not been used frequently. Amtrak should use this process more to see if it works satisfactorily. If it doesn't, Amtrak should seek congressional guidance and action. Amtrak's standardized payments for certain services have been inequitable in some cases and Amtrak needs to change its policy for revising these payments.