Expand State Partnerships for Passenger Rail
As passenger rail ridership grows nationwide, Amtrak and some states are engaging in innovative new partnerships to foster this demand. To comply with the Passenger Rail Investment and Improvement Act (PRIIA) that passed in 2008, federal and state policymakers will not only need to focus on the financial and operational performance of short-distance routes, where over 80 percent of the system’s ridership occurs, but also on the future of long-distance routes.
Of course, more federal support would help. But with additional federal funding unlikely and state budgets significantly pared, policymakers will need to consider more sustainable ways to finance the nation’s increasingly intermodal transportation network. Passenger rail, in particular, has shown the importance of states stepping up and taking action.
And several states have already seized the opportunity. Before PRIIA passed, 15 states paid at least a portion of the operating expenses for 21 different routes, affirming their commitment to passenger rail and placing them in a better position to target future spending. Oklahoma and Texas, for example, have jointly financed the Heartland Flyer and contributed more than $17 million combined from 2007 to 2011. Collectively, the 15 states have allocated almost $850 million during the same span.
Some states have also invested in rolling stock and other capital improvements that have furthered economic development along different corridors. North Carolina, for instance, has actively supported the Carolinian and Piedmont by rehabilitating stations and upgrading state-owned tracks. California has continued to invest in the Pacific Surfliner, the Capitol Corridor, and the San Joaquin, all of which rank among the 10 busiest routes nationally.
http://www.brookings.edu/blogs/the-avenue/posts/2013/03/13-passenger-rail-state-subsidies-puentes-kane