Warning to Amtrak from Mitt Romney and Republicans: You’re on your own.
The platform Republicans adopted at their convention includes 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 says, arguing that taxpayers dole out almost $50 for every Amtrak ticket.
Long a political cudgel in the halls of Congress, Amtrak is among a number of transportation functions Republicans say should be turned over to the private sector — including airport security, which is also on the chopping block in the GOP platform. At its core, the debate juxtaposes differing visions about what role government should play in ensuring public access to services — even if they’re losing money hand over fist.
For President Obama, Amtrak symbolizes a communal investment in the American infrastructure that enables and catalyzes economic growth. For Mr. 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, such as maintaining the train tracks, 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 L. Mica, Florida Republican and chairman of the House Transportation Committee. Mr. Mica says he will hold a hearing a month on Amtrak. A session Tuesday is to focus on Amtrak’s “monopoly mentality” on commuter rail.
While recognizing the need for a central entity to coordinate routes nationwide, Mr. 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,” he said.
Despite chiding from tea party activists and libertarians, Amtrak enjoys broad support from most Democrats, making it unlikely its federal subsidies will disappear any time soon. And if Mr. Obama wins re-election, Amtrak will continue to have a powerful advocate in the White House.
“I’m the biggest railroad guy you’ve ever known,” Vice President Joseph R. Biden Jr., whose hometown Amtrak station was renamed for him last year, told supporters last week. “I have traveled round trip from Wilmington, Del., to Washington, D.C. — a 250-mile round trip — over 7,900 times.”
Democrats didn’t mention Amtrak in their platform, but spoke generally about rail’s importance and the need for increased investments in U.S. infrastructure. With more people than ever riding trains, government should be expanding intercity travel, not dismantling it, said Rep. Nick J. Rahall II of West Virginia, the top Democrat on Mr. Mica’s committee.
“This short-sighted proposal that Republicans are again trotting out would mark the end of the line for Amtrak service across the country, while punching a ticket to the unemployment line for thousands of workers,” Mr. Rahall said.