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Amtrak Inspector General Releases Private Car Report

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Feb 08

On February 6, 2019, Amtrak’s Office of the Inspector General published a report titled “TRAIN OPERATIONS: Opportunities Exist to Improve Private Railcar Management and Business Practices.” A copy of the report is available here.

The American Association of Private Railroad Car Owners issued the following statement in response to the Amtrak Inspector General report:

“The Amtrak IG report indicates that management does not know what its costs are. This means that Amtrak could just as easily be overpricing as underpricing. The American Association of Private Railroad Car Owners commissioned a six-month study by a prominent transportation economics consultant. The results of that study indicate that Amtrak’s tariff — even before the May 2018 and January 2019 rate increases — more than covers Amtrak’s costs and provides Amtrak a robust profit margin on a fully allocated cost basis.”