Bill Proposes Privatization of Northeast Rail Corridor

House Transportation Committee Chairman John Mica has proposed a bill to privatize Northeast Corridor rail operations. This post from Pedestrian Observations looks at what such a plan would mean.

1 minute read

June 18, 2011, 5:00 AM PDT

By Nate Berg

Amtrak, the operator of the Northeast Corridor and the Acela train, is not particularly happy about the idea.

"This will be done more like European rather than Japanese privatization: Amtrak will not be privatized directly, but instead the Amtrak-owned trackage and rolling stock in the Northeast will be transferred to a separate government-owned company, which will award a design-build-operate-maintain contract based on competitive bidding and lease the infrastructure to the winning bidder for 99 years.

Amtrak President Joseph Boardman replied, 'This is broader than the northeast at this point. This is the Privatize Passenger Rail for America Act. The overall impact is this takes Amtrak apart, from an infrastructure standpoint, and replaces it with a government entity.'"

FULL STORY: Mica Introduces NEC Privatization Bill

Thursday, June 16, 2011 in Pedestrian Observations

Government / Politics Infrastructure Transportation United States Privatization Amtrak Northeast Corridor Legislation View More

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