Amtrak CEO's statement on FY '06 budget

Dear Amtrak Co-workers:

Earlier today, President Bush sent to Congress his proposed budget for FY '06. It provides no funding for Amtrak. In contrast, this year we are spending $1.4 billion, of which $1.2 billion is from a federal appropriation to support our operations and capital programs across the country.  

The President's proposal does provide $360 million to the Surface Transportation Board for continued commuter and freight operations on the NEC [Northeast corridor] only after forcing an Amtrak bankruptcy. It also isn't accompanied by any kind of plan for how Amtrak could continue operations. In a word, they have no plan for Amtrak other than bankruptcy.

Obviously, the proposal is irresponsible and a surprising disappointment. It doesn't acknowledge all the hard work you've done over the past two years to run a tighter and better ship. Our costs are more under control than ever before — that's quite an accomplishment.

It is critical that reforms and improvements must continue, however.  Amtrak's management is engaged with its board, the Department of Transportation and others for this purpose. That work continues. We are committed to an efficient and productive rail passenger system. The plan to force us into bankruptcy would be counterproductive to this goal.

The President's proposal is only the start of a long legislative process, and we are taking it very seriously. This process has a lot of twists and turns, and it always takes six to nine months to sort out. It won't have any impact through the '05 fiscal year, but there's going to be very little cash left at the end of this year. Rest assured that after all we have been through, I am committed to doing everything I can to secure adequate funding for '06. We have strong support in Congress and a lot of support across the country.

The best thing that all employees can do is to do their jobs professionally, delivering the highest quality passenger service we know how. If we really care about our passengers, others will care about us. As I travel in the Midwest this week, you can bet that I'm going to be looking at service standards. Stay safe out there, and keep your heads up.  

Sincerely,

David L. Gunn