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Future of Intercity Passenger Rail Service and Amtrak Hearing S. HRG. 108–932 FUTURE OF INTERCITY PASSENGER RAIL SERVICE AND AMTRAK HEARING BEFORE THE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION UNITED STATES SENATE ONE HUNDRED EIGHTH CONGRESS FIRST SESSION APRIL 29, 2003 Printed for the use of the Committee on Commerce, Science, and Transportation ( U.S. GOVERNMENT PRINTING OFFICE 67–425 PDF WASHINGTON : 2011 For sale by the Superintendent of Documents, U.S. Government Printing Office Internet: bookstore.gpo.gov Phone: toll free (866) 512–1800; DC area (202) 512–1800 Fax: (202) 512–2104 Mail: Stop IDCC, Washington, DC 20402–0001 VerDate Nov 24 2008 09:15 Jul 21, 2011 Jkt 067425 PO 00000 Frm 00001 Fmt 5011 Sfmt 5011 S:\GPO\DOCS\67425.TXT SCOM1 PsN: JACKIE SENATE COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION ONE HUNDRED EIGHTH CONGRESS FIRST SESSION JOHN MCCAIN, Arizona, Chairman TED STEVENS, Alaska ERNEST F. HOLLINGS, South Carolina CONRAD BURNS, Montana DANIEL K. INOUYE, Hawaii TRENT LOTT, Mississippi JOHN D. ROCKEFELLER IV, West Virginia KAY BAILEY HUTCHISON, Texas JOHN F. KERRY, Massachusetts OLYMPIA J. SNOWE, Maine JOHN B. BREAUX, Louisiana SAM BROWNBACK, Kansas BYRON L. DORGAN, North Dakota GORDON SMITH, Oregon RON WYDEN, Oregon PETER G. FITZGERALD, Illinois BARBARA BOXER, California JOHN ENSIGN, Nevada BILL NELSON, Florida GEORGE ALLEN, Virginia MARIA CANTWELL, Washington JOHN E. SUNUNU, New Hampshire FRANK LAUTENBERG, New Jersey JEANNE BUMPUS, Republican Staff Director and General Counsel ROBERT W. CHAMBERLIN, Republican Chief Counsel KEVIN D. KAYES, Democratic Staff Director and Chief Counsel GREGG ELIAS, Democratic General Counsel (II) VerDate Nov 24 2008 09:15 Jul 21, 2011 Jkt 067425 PO 00000 Frm 00002 Fmt 5904 Sfmt 5904 S:\GPO\DOCS\67425.TXT SCOM1 PsN: JACKIE C O N T E N T S Page Hearing held on April 29, 2003 .............................................................................. 1 Statement of Senator Burns ................................................................................... 11 Prepared statement .......................................................................................... 11 Statement of Senator Hollings ............................................................................... 3 Prepared statement .......................................................................................... 3 Article, dated April 21, 2003, from The Washington Post, entitled ‘‘Am- trak’s Top Gunn; The No-Nonsense CEO Has Revived a Railroad and Won Respect From Politicians and Employees’’ ......................................... 5 Article, dated April 26, 2003, from The Washington Post, entitled ‘‘Am- trak Chief Unveils Five-Year Plan; $8 Billion Sought to Repair Infra- structure, Trains in Northeast’’ ................................................................... 9 Statement of Senator Hutchison ............................................................................ 10 Statement of Senator Lautenberg .......................................................................... 51 Prepared statement .......................................................................................... 52 Statement of Senator Lott ...................................................................................... 11 Statement of Senator McCain ................................................................................. 1 Statement of Senator Sununu ................................................................................ 54 WITNESSES Dittmar, Hank, Co-Director, Reconnecting America ............................................ 85 Prepared statement .......................................................................................... 87 Gunn, David L., President and CEO, Amtrak ...................................................... 38 Prepared statement .......................................................................................... 42 Jackson, Hon. Michael P., Deputy Secretary, Department of Transportation ... 11 Prepared statement .......................................................................................... 16 King, Hon. David D., Deputy Secretary, North Carolina Department of Trans- portation ................................................................................................................ 67 Prepared statement .......................................................................................... 70 Landes, Alan, Senior Vice President, Herzog Transit Services, Inc. ................... 93 Prepared statement .......................................................................................... 95 Preliminary List of Contacts for Discussion of Amtrak Privatization, Up- dated May 16, 2003 ....................................................................................... 104 Mead, Hon. Kenneth M., Inspector General, Department of Transportation ..... 28 Prepared statement .......................................................................................... 31 Pracht, Michael P., Chairman, Passenger Transportation Committee, Railway Supply Institute, Inc. ........................................................................................... 99 Prepared statement .......................................................................................... 100 Winner, John H., President, Harral Winner Thompson Sharp Lawrence, Inc. 78 Prepared statement .......................................................................................... 80 APPENDIX Capon, Ross B., Executive Director, National Association of Railroad Pas- sengers, prepared statement ............................................................................... 111 Kerry, Hon. John F., U.S. Senator from Massachusetts, prepared statement ... 109 Response to written questions submitted to Hank Dittmar by: Hon. Ernest F. Hollings ................................................................................... 144 Hon. Frank R. Lautenberg ............................................................................... 146 Hon. John McCain ............................................................................................ 141 Response to written questions submitted to David L. Gunn by: Hon. Ernest F. Hollings ................................................................................... 129 Hon. John McCain ............................................................................................ 121 Hon. Ted Stevens .............................................................................................. 128 (III) VerDate Nov 24 2008 09:15 Jul 21, 2011 Jkt 067425 PO 00000 Frm 00003 Fmt 5904 Sfmt 5904 S:\GPO\DOCS\67425.TXT SCOM1 PsN: JACKIE IV Page Response to written questions submitted by Hon. Ernest F. Hollings to: Hon. David D. King .......................................................................................... 131 Michael P. Pracht ............................................................................................. 148 Response to written questions submitted to Alan Landes by: Hon. John McCain ............................................................................................ 146 Response to written questions submitted to Hon. Kenneth M. Mead by: Hon. Ernest F. Hollings ................................................................................... 119 Hon. Frank R. Lautenberg ............................................................................... 121 Response to written questions submitted to John H. Winner by: Hon. Ernest F. Hollings ................................................................................... 137 Hon. John McCain ............................................................................................ 133 Stoetzel, Jim, Vice President, Contract Operations—Rail, Connex North America, Inc., letter dated May 5, 2003 to Sharon Dashtaki, Missouri DOT ....................................................................................................................... 110 VerDate Nov 24 2008 09:15 Jul 21, 2011 Jkt 067425 PO 00000 Frm 00004 Fmt 5904 Sfmt 5904 S:\GPO\DOCS\67425.TXT SCOM1 PsN: JACKIE FUTURE OF INTERCITY PASSENGER RAIL SERVICE AND AMTRAK TUESDAY, APRIL 29, 2003 U.S. SENATE, COMMITTEE ON COMMERCE, SCIENCE, AND TRANSPORTATION, Washington, DC. The Committee met, pursuant to notice, at 9:30 a.m. in room SR– 253, Russell Senate Office Building, Hon. John McCain, Chairman of the Committee, presiding. OPENING STATEMENT OF HON. JOHN MCCAIN, U.S. SENATOR FROM ARIZONA The CHAIRMAN. Good morning. The Committee meets today to hear testimony on the future of intercity passenger rail service and Amtrak. During my years in Congress, I have participated in more hear- ings and debates about Amtrak than I can count, but hope springs eternal that today’s hearing will mark the beginning of a bipar- tisan effort to develop a consensus on how to reform Amtrak and transition to a passenger rail program that meets a market de- mand and provides more value for the taxpayers. I commend David Gunn for his accomplishments over the past year as Amtrak’s President. Thanks to his leadership, Amtrak has a credible business plan to carry it through this fiscal year with a realistic revenue and capital forecast. Mr. Gunn has been very can- did about the mistakes that were made by Amtrak with the Acela project, the mail and express initiatives, and the sale and mort- gaging of assets to generate cash. His candor and willingness to deal with problems head-on has earned him the respect of many traditional Amtrak skeptics. During a meeting
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