Volume 3 Number 14
- And, the hits just keep on coming. Here’s an unsolicited e-mail received by URPA this week.
“Dear Mr. Hughes, Acting President of Amtrak and Mr. Fremaux, V.P. of Customer Service
“I recently had the misfortune to ride the Auto-train to Florida and back to Virginia. (The dates I traveled were 12/31/06 and 2/28/06. ) The conditions aboard the train were absolutely deplorable on both occasions. The cabin I booked was the ’super deluxe bedroom’ and needless to say, I was more than disappointed with the accommodations.
“On both trips, the extra chair provided in the cabin was ripped and soiled beyond belief. The general cleanliness was minimal. After having spent the monies to have sleeping berths, we had to sleep in our day clothes. Changing into sleeping garments was not even a consideration. The shower facility was absolutely primitive. As my husband is want to say, ‘This is no North by Northwest experience!’ This service bears no resemblance what-so-ever to overnight trains and the accommodations one experiences in Europe. And to think, we paid $1,600.00 to experience such abysmal service.
“The only benefit from this entire experience was that we saved driving about 1,000 miles from Lorton, Virginia to Sanford, Florida.
“Needless to say our travel aboard the Auto-train was so unpleasant that upon our return home, we mentioned our complete dissatisfaction to our travel agent and her response was, ‘Yes, many of our clients have expressed the same thoughts.’ So, we are making it our mission to inform other senior citizens that there are other alternatives to taking the ‘train from hell.’
“At the least I suggest your company, under your direction, make a concerted effort to see that the cabins are totally renovated, cleaned and the offensive furniture be removed and replaced.
“Yours truly, Catherine Renza Yarmouth Port, MA”
- It becomes obvious things have gone terribly awry when this type of complaint is lodged against the Auto Train, the premier Amtrak operation on the East coast. Auto Train enjoys an exclusive equipment pool, and is the only long distance train other than the Empire Builder to still have fresh prepared food onboard and a full service dining car. Auto Train was completely reequipped with Superliner II equipment in the 1990s.Cinema fans who remember Cary Grant and Eva Marie Saint in North by Northwest recall they traveled from New York City to Chicago on the New York Central; nothing special for the time the movie was made, just simply reliable Pullman service with its hallmarks of cleanliness, well trained employees, and the desire to meet the more than basic needs of the traveling public.
Here is what one wise wit had to say about this letter: “Back to the basics: wash the windows, clean the cars, and train the staff to smile, and say ‘thank you.’”
A Midwestern wag said, “I like their reference to ‘cabins.’ They must have taken a number of sea cruises, the service experience of which can never be compared to Amtrak.
A well placed Washington wag said of some rail fans defending this mess: “Either these gentlemen wear rose-colored glasses or they don’t get out very much. Or, decades of rail fanning has driven their expectations down into the cellar.
“One has to rate the experience as commensurate to the fares charged. On the Auto Train, these folks in the quoted letter spent $1,600. They got what they perceived as ratty upholstery and bedding not fit to sleep on. Rail fans who are always thrilled to pieces just to be on a train, save up their Guest Rewards points and shop for bargains, are going to be less concerned about such niceties.
“Bottom line - these people [rail fan defenders of Amtrak] are too out of touch with the average passenger to be trusted. [in their judgement of trains].”
Back in the Midwest, another comment was added by a wise man: “I find that MY expectations are so far into the cellar that if an Amtrak trip is simply ‘uneventful,’* I’m relieved and, therefore, a satisfied customer. God, help me. * Uneventful = not hours late, toilets flush, and the crew members are not rude.”
And, the Washington wag added, “Basically, in a few overnight trips back in the 90s Amtrak repeatedly flunked the ‘Rose test’ i.e. my wife’s test. Cramped quarters, general lack of privacy, awkward bathroom facilities, indifferent to non-existent service in the sleepers, too many meals in a row of so-so food with so-so service to match, cabin fever from feeling ‘cooped up.’ She doesn’t particularly like the ambiance of the ‘Sightseer Lounge,’ either. Too cold, uncomfortable and institutional, and at times very noisy. Not the place to curl up with a book as the countryside rolls by.”
- Okay, let’s jump to an encouraging press release from Amtrak last week (edited for relevance and space) before we continue this discussion.
“March 16, 2006
“Amtrak Reforms Paying Off in Reduced Operating Support Request
“WASHINGTON - At a Senate Appropriations Subcommittee hearing … , Amtrak Chairman of the Board David M. Laney and Amtrak Acting President and CEO David J. Hughes, detailed the railroad’s funding needs and reform plans for Fiscal Year 2007.
“‘Amtrak has reorganized, begun to rebuild the plant and equipment and has stabilized to a point where I believe we can now begin to address fundamental change aggressively in critical areas,’ said Laney, noting the railroad’s progress since surviving a financial crisis four years ago. ‘This year and next are truly pivotal years for Amtrak in its implementation of strategic reform - and we are aggressively ushering in change at Amtrak.’
“Based on the railroad’s continuing successful efforts to improve operational efficiencies and revenue growth, Amtrak is lowering its requested level of operating support for FY07 by $42 million to $498 million … . The requested level of federal operating support is less than 20 percent of the railroad’s operating budget.
“For greater reliability of its infrastructure, Amtrak is proposing an increase in the funding of capital projects by $235 million, from $495 million presently to $730 million.
“… Combined with funding for working capital and debt servicing, the proposal for federal support totals $1.598 billion … , about equal to the railroad’s funding of $1.3 billion for the current year, but for several extraordinary capital needs.
“Amtrak proposes no new borrowing, and Laney in his testimony noted that the railroad has reduced its debt by about $300 million during the last three years.
“In addition to the proposal for federal support, Laney outlined a series of strategic investment options to reduce congestion and improve the reliability of non-Amtrak owned rail … .
“Strategic Reform Initiatives
“Laney reported that the railroad has made progress recently in reducing food service costs without adverse impact to the quality of the product. The railroad is under a mandate to do so, or face the possibility of its elimination on some trains. Laney also said that the railroad is continuing to explore outsourcing options for the service.
“Amtrak is pursuing additional efficiencies, said Laney, through the closing and consolidation of some facilitates and outsourcing of certain support functions. Other reforms Laney said Amtrak is pursuing include re-evaluation of fleet utilization, improvements in customer service for better ridership and revenue growth and a comprehensive review of the railroad’s long-distance network for improved financial performance or possible restructuring and reconfiguration.
“‘Our goal is to improve our customer service, to become more efficient at what we do, to reduce our unit operating costs while growing revenue, and to prepare ourselves for what we hope is a more competitive future environment for passenger rail,’ said Laney. The full testimony is available at http://www.amtrak.com/governmentaffairs.
"Capital Needs Legal Mandates (a) - $155,000,000 Infrastructure - $441,000,000 Rolling Stock - $176,000,000 Other Services (b) - $68,000,000 Business Initiatives - $67,000,000 Non-Federal Funding - ($177,000,000) Subtotal, Capital - $730,000,000 Operating Needs - $498,000,000 Debt Service - $295,000,000 Subtotal, Capital/ Operating/Debt - $1,523,000,000 Working Capital/ Restructuring - $75,000,000 Amtrak Federal Grant Request - $1,598,000,000 (a) Security fencing, NY tunnels life safety, ADA assessments, mandatory rolling stock inspections, and environmental remediation and pollution control (b) Information technology, real estate, procurement, and financial systems * Numbers may not add due to rounding”
- So, here we go. We have a very unhappy Auto Train passenger who paid big bucks for a bad experience on what is supposed to be one of the best long distance trains in the Amtrak system. We have some battle hardened veterans offering excuses and laments and remedies. And, we have Amtrak itself saying it’s trying really, really hard to do better.One obvious point is that when you are a company the size of Amtrak and with the number of annual passengers in the 25 million range, someone is going to be unhappy with the service. However, it’s one thing to complain about a grumpy employee or a late train, it’s entirely another thing to feel the sleeping accommodations are so poor and unsanitary that one can’t even slip into their jammies for a good night’s sleep.
Another point is the lowered expectations game. What should the traveling public legitimately expect from Amtrak after the expenditure of $30 billion of public funds in the few short decades Amtrak has graced the rails of America? Minimal service with all the charm of a concrete walled and linoleum floored government office? Or, plush parlor cars as operated by the Pullman Company in days of yore? And, why should there be low expectations in the first place? Amtrak charges fares commensurate with other common carriers throughout the world, including a host of well-financed and profitable private companies. What is everyone else doing right that Amtrak is doing wrong?
Are there lower expectations just because Amtrak is a semi-government agency? Are there lower expectations because Amtrak’s “amen corner,” organizations like the National Association of Railroad Passengers, publicly represented by Executive Director Ross Capon, are so thrilled just to be recognized by Amtrak that they don’t dare criticize the company (except for the actions of the Amtrak Board of Directors, which, often mentioned and inferred by NARP, apparently were appointed by a White House occupied by the wrong political party) for fear they will lose favor and favors with Amtrak paid senior staff?
What should we expect of Amtrak? Everything better than what we do now.
Amtrak Chairman of the Board David Laney said in a Reuters news article in the past few days the board expects to name a new President and CEO by mid-May. Is it May, yet? Can we hurry, please?
One good sign things are improving is the more rational process Amtrak is going through with its annual free federal monies request. Mr. Laney and Acting President David Hughes are conducting a budget process this year much, much different than we have seen in the past few years. No one is threatening to shut down the railroad, and hold their breath until they turn blue. Instead, there is an intellectual give and take and respectful request process that seems to be moving smoothly.
In fact, the only irrational voice is that of Mr. Capon, as mentioned above, and other organizations aligned with NARP, making overly silly and drama and crisis inducing statements like “The budget resolution has the administration’s $900 million for Amtrak–not enough to keep the railroad running.” Really? Just look at the numbers above, including the operating request of $498 million. The rest of the money is for purposes other than operating trains. As Amtrak said in its press release above, “The requested level of federal operating support is less than 20 percent of the railroad’s operating budget.” It’s time for Mr. Capon and his Amtrak-enabling organization to stop acting like Chicken Little that constantly cries the sky is falling. The need to become part of the real world, instead of the make-believe world of constant and false crisis.
NARP’s actions and statements through the years have only served to lower the expectations of Amtrak by the federal government, American taxpayers, and the traveling public. Even though Tony Haswell formed NARP with foresight and the ability to become an important part of the national discussion on passenger rail, for the past quarter of a century NARP squandered its opportunity to be a respected organization that offers outside ideas and helpful criticism instead of its constant sycophant stance of “Amtrak can do not wrong.”
Both elected and appointed officials in Washington, and much of the traveling public that has experienced Amtrak service these past 30 years or more knows Amtrak is very capable of being wrong. Amtrak is aptly demonstrating this yet, again, by inflicting the Diner Lite program on crews and passengers. Those with institutional memory know this nearly exact same program was tried twice before in the 70s and 80s, both with disastrous results. There is no reason to believe the results the third time will not be the same. The concept of “cutting” one’s way to profitability rather than using brains for innovation and improvement is always a mystery to those versed in the concepts of the real business world.
Technically, Amtrak has been a bankrupt company since its inception. It was not intended to be that way; it was intended to be a profitable company that would allow passenger trains to grow and prosper when away from the management and ownership of private freight railroads that were more interested in moving freight than passengers. Amtrak was never intended to be a perpetual child of government, constantly dependent on the goodwill of others just to have enough money to buy diesel fuel and paper towels.
- What can we do to improve Amtrak? The first crucial step has been taken; a board of directors was installed that realized it’s impossible to continue “business as usual.” The second step was taken, making a tough decision about who should lead the company on a day to day basis. That process is ongoing.The third step needs to be higher expectations and standards by all parties concerned. Employees must expect more from themselves because they will be provided more by their supervisors. Supervisors must expect more from themselves because they will be provided more by their managers. Managers must expect more from themselves because they will be provided more by their board of directors. Passengers should have the right to expect good and timely service. Value should be received for monies spent. Amtrak’s owners and bankers, the federal government, should expect - and demand - more for the annual amount of monies invested in Amtrak. “It’s good enough for government work” is not good enough for Amtrak.
Even though in the past there has seemed to be, there is no endless spigot of free federal monies. Federal money has to stop being free; it has to come with strings attached. This process has begun, but it needs vast refinement. Silliness like the micro-managing of dining and sleeping cars by the USDOT is not reform - it’s punishment for naughtiness on Amtrak’s part and bias on the part of a now mercifully departed DOT official. Good moves like proving to DOT the need for annual grants and requests and proving the money was put to good use make sense, and should have been done a long time ago.
As said before, Amtrak has to stop being America’s best kept secret. It’s got to use the many proven techniques of good public relations, advertising, and marketing to sell itself to the traveling public. Last Friday, The Wall Street Journal ran an enlightening article by veteran staff writer Daniel Machalaba about the Amtrak experiment of service upgrades on the Empire Builder, which runs between Chicago and Seattle. Mr. Machalaba, one of the few members of the media in America that truly understands the business and details of passenger rail travel, noted in his article how successful the upgraded Empire Builder experiment is working, and the satisfaction of passengers as well as financial improvements occurring as a result of the fruits of the experiment. We know Amtrak is capable of success, we have a clear, vivid demonstration of it today. This success needs to be replicated systemwide, the sooner, the better.
Amtrak’s core ridership of 25 million souls a year is paltry compared to its potential. Why, oh why, is anyone even remotely satisfied with this small number? Why is anyone satisfied with only one train a day on each route, the most expensive way to operate a route? Why has anyone constantly accepted lame arguments against Amtrak expansion, specifically with the freight railroads, when every one of those railroads is operating as a for-profit business, and ready to discuss new ventures with anyone who knocks on the door with cash in hand?
Everything has got to change. Conventional thinking has got to go. History must be relearned and reapplied, taking the best of the past and using those concepts in the future. The public has got to be consulted about how it wants to travel and what it expects when traveling. Morally admirable food has to be provided, along with clean equipment, friendly people, and constantly good performance. When misfires do occur, they must be the exception, not the rule.
Every American taxpayer, every elected and appointed official of government, every Amtrak employee, vender, and passenger must stop accepting near or complete failure as normal. Every stakeholder must demand better, either of themselves, those around them, or those being paid to provide travel and services. “It’s good enough for government work” is not good enough for Amtrak.
- The CSX line in and out of the East side of New Orleans is back in full operation, busy as ever. When will the beleaguered Sunset Limited return to its full route from Los Angeles to Orlando, via New Orleans? What is Amtrak waiting for? Part of Amtrak’s free federal monies received for this fiscal year included operating grants for the Sunset Limited. So, where is the Sunset Limited, East of New Orleans? Inquiring minds want to know.
- An announcement was made in last week’s TWA that solutions for Amtrak’s Diner Lite misadventure would be published in this issue. Because space is short this week, that information will be published next week. We are sorry if this causes anyone any inconvenience.