Amtrak in Dire Financial Straits, Seeking More Federal Relief Funding

Amtrak officials say they need $4.9 billion in funding to prevent service and job losses.

1 minute read

September 15, 2020, 7:00 AM PDT

By James Brasuell @CasualBrasuell


Amtrak Train

John H Gray / Flickr

David Shepardson reports for Reuters on the financial state of Amtrak, where officials are asking Congress for $4.9 billion in additional funding to make ends meet during the pandemic. 

Amtrak Chief Executive William Flynn went before Congress earlier this month to to request the additional funding, warning that the intercity rail system could  face service and job cuts without the funding. Amtrak typically receives $2 billion in funding support from the U.S. government, according to Shepardson.

An earlier article by Pranshu Verma, written for The New York Times, also digs deeper into the pandemic context for Amtrak, comparing it to the U.S. Postal Service as a service provided by the government. 

"For Amtrak, the coronavirus pandemic has not only slashed ridership and any chances of breaking even, it has also forced its leaders to face an existential choice: act like a for-profit airline or a government-subsidized entity," writes Verma. 

Verma also provides more details on the specifics of the financial challenges facing Amtrak since the outbreak of the novel coronavirus earlier this year: "Since March, ridership on the national rail agency has fallen by 95 percent and projected revenue for 2021 has declined by 50 percent." 

As noted in booth articles, Congress has already sent $1 billion in emergency funds to Amtrak, but Amtrak has been asking for more assistance since May.

Wednesday, September 9, 2020 in Reuters via St. Louis Post-Dispatch

courses user

As someone new to the planning field, Planetizen has been the perfect host guiding me into planning and our complex modern challenges. Corey D, Transportation Planner

As someone new to the planning field, Planetizen has been the perfect host guiding me into planning and our complex modern challenges.

Corey D, Transportation Planner

Ready to give your planning career a boost?

Commercial street in small rural U.S. town with storefronts and clocktower.

Progressive Planning in Ideologically Conservative Communities

Planners must work in diverse political environments including conservative jurisdictions that are skeptical of new issues and perspectives. Here are ways to reconcile conflicting goals.

November 7, 2024 - Todd Litman

Amtrak Coast Starlight passenger train passing over bridge in Altamont Pass, California.

Amtrak Expanding Service in California’s Central Valley

Amtrak is planning a major expansion to the passenger rail lines connecting the Central Valley and the Bay Area.

November 4, 2024 - The Modesto Bee

Aerial view of downtown Lexington, Kentucky.

Lexington, Kentucky Passes Urban Growth Plan

The city’s new master plan sets out requirements for mixed-use development.

November 6, 2024 - The Lexington Times

View of traffic on San Diego freeway.

Opinion: Why Linking Driving to GDP Misses the Point

The argument that car-centric development is good because it boosts national GDP ignores the massive costs of driving to everyday Americans.

November 13 - Streetsblog USA

White BART public transit train at Coliseum station in Oakland, California.

San Francisco’s BART Awarded $545 Loan for Upgraded Rail Cars

The agency plans to modernize its fleet with more efficient rail cars equipped with new safety features.

November 13 - Golden Gate Media

Large roof with solar panels and Los Angeles hills in background.

How Los Angeles County is Advancing Sustainability

A recently released report by the Chief Sustainability Office (CSO) shows that L.A. County is making progress on meeting the goals of the OurCounty Sustainability Plan.

November 13 - Los Angeles County Chief Sustainability Office

Urban Design for Planners 1: Software Tools

This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.

Planning for Universal Design

Learn the tools for implementing Universal Design in planning regulations.