neroden
Engineer
Amtrak was very specific in the report. They aren't required to charge the loaded-with-overhead overpriced rates if it's a longer-than-750-mile... so they won't. But Amtrak has also faced flat federal funding for many years, so it makes no sense for Amtrak to increase its deficit.Yeah, but an extension of a LD train does not require state support. If they weren't considering doing this by themselves, why even bother with alternative A1? Amtrak might finally be thinking of the network effect.Based on the incremental subsidy numbers, Amtrak is not going to do this without state or local support. I could actually see this being funded from local support, however, it's just not much cost.
Therefore Amtrak estimated the *actual* incremental costs and incremental revenues. If the states or localities cover the difference (~5.3 million/year), Amtrak will run the train, otherwise not.
The loaded-with-overhead rate would have been $20 million or more.
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