ARC Testimony before Congress

Congressional Reporting Requirements

For More Information Contact:
Deirdre O'Sullivan
(202) 366-0631
July 25, 2001

For Immediate Release

AGENDA FOR PRESS CONFERENCE

• Short Statement from Gilbert E. Carmichael
• Statements from Council members Nancy Connery and James E. Coston
• Questions from the Press for the Council members and Council staff
  
  ISSUES TO BE DISCUSSED
  
  
• Testimony from Amtrak Reform Council at today's Amtrak Hearing
  • Amtrak's progress towards operational self-sufficiency
    • In the six months of FY01, Amtrak must turn a profit of $36 million in order to stay on its "glidepath."
    • Recent mortgaging of Penn Station
    • Recent news that Amtrak is considering "redirection"
  • New Business Model for Amtrak
    • Separate management and funding for infrastructure
    • Amtrak's operating and infrastructure be insulated from direct political influence by consolidating existing government programs into single entity
  • High-Speed Rail Investment Act Legislation
    • Council proposes several amendments including:
      • States should also be able to issue the bonds
      • Objective criteria used to evaluate projects
      • All funds under control of Independent Trustee and cannot in any way be entangled with finances of issuer
    • Council's proposals for Alternate Bonds
      • Broadens the range of issuers of bonds to states, high-speed rail authorities, etc.
      • Practically eliminates risk that the escrow fund will not fully redeem the principal of the bonds.
      • Higher matching share makes them less attractive to prospective users.
• Council's Letter of Recommendation to Amtrak dated July 12, 2001.
  • Recommendations to Amtrak include:
    • Change its organization to implement a separation of infrastructure responsibility from train operating responsibility, including separate financial statements
    • Reframe its funding request to Congress to reflect its infrastructure needs separately from the needs of its train operations. The Council believes this will also help make the case for adequate sources of funding for these two vital and distinct requirements

HANDOUTS FROM AMTRAK REFORM COUNCIL

• Testimony from today's Amtrak Hearing
• Council's Letter of Recommendation to Amtrak dated July 12, 2001
• Press Release announcing Council's Letter of Recommendation
• Agenda for Press Conference