William Lindley
The repeal of the Amtrak monopoly strangely continues to generate little press. Just like lifting of the long-distance telephone monopoly, or deregulation of the airline and freight railroads, repealing the Amtrak monopoly changes everything. While there other laws might seem to provide some disincentives, no potential operator need now seek Amtrak’s approval before initiating new rail services.
Already the Florida Fun Train operates regular intercity passenger rail service in that state; its operator, First American Railways Inc., who also operates the Durango & Silverton, has issued stock as capital to implement its business plan, which calls for further passenger rail operations.
Meanwhile, in Pennsylvania, Railway Service Corp., under the name Diamond Railway, wants to take over Amtrak’s Keystone Harrisburg-Philadelphia service, with hourly trains and food service. Diamond would utilize the Harrisburg line’s electrification instead of the diesel trains Amtrak now runs, and restore service to downtown Philadelphia. After the downtown terminus was dropped in the late 1980s, ridership dropped sharply. According to Scott Spencer, “What we’ve offered is a way to cut their operating costs… We’re trying to create a win-win situation for Amtrak.”
I welcome an expanded role for private enterprise in our nations’ passenger rail future.
