Washington, DC - In remarks on the floor of the Senate today, U.S. Senators Robert Menendez and Cory Booker called for smart and fair infrastructure investment in the Northeast Corridor (NEC), Amtrak's busiest and most profitable business line. While Amtrak's NEC carries half of Amtrak's trains and 80% of the nation's rail commuters, its current capital structure diverts profits generated in the NEC to bolster its other passenger business lines, leaving essential infrastructure improvements left undone.
Menendez pointed to the critical need for investments to improve the more than 100 year old Portal Bridge as its deterioration is causing significant delays for riders in New Jersey and throughout the northeast: "The Portal Bridge is a linchpin in the Northeast Corridor, carrying passengers over a moveable swing bridge across the Hackensack River between Kearny and Secaucus and serving as a 'portal' into and out of Manhattan," said Sen. Menendez. "It's one of the busiest sections of the corridor. You'd think -- given its importance -- that we would be willing to invest in making the best bridge possible. Unfortunately, the reality is quite different. Failure to invest in a modern, state-of-the-art system does a disservice to all of us - certainly to commuters -- and it's is an economic hindrance in a region that supports 20 percent of the nation's GDP."
In spite of the challenges of aging infrastructure, Amtrak in the Northeast Corridor is a profitable rail line, generating over $300 million each year. Yet under the current structure, Amtrak has been unable to invest those profits back into essential projects like the Portal Bridge and the Gateway project. These profits have instead been used elsewhere on Amtrak's system, subsidizing long-distance services that were traditionally a core federal responsibility. Amtrak's new proposal would allow it to keep revenue generated by the corridor in the corridor and at the same time would fully fund for lines outside the Northeast Corridor.
"For too long, Congress has failed to meet its responsibility on these routes, relying on the riders on the Northeast Corridor to subsidize other parts of the rail network. Riders on the Northeast Corridor deserve to have profits generated along the line reinvested-not used as a substitute for insufficient federal investment."
Booker also spoke of the project's importance to New Jersey and beyond. "One of the most important steps we can take to alleviate congestion and delays in New Jersey and throughout the region is to invest in Amtrak's Gateway project," Booker said. "This project would create thousands of jobs, reduce commuter times, and make traveling by rail more flexible and reliable. This critical investment will drive economic growth throughout the entire region.
"Currently there are just two tunnels connecting New Jersey to New York via rail. These tunnels are operating at full capacity, with roughly 24 trains at peak hours, carrying over 70,000 riders daily with no space foradditional trains during rush hour," Booker added. "Upon completion, the Gateway project would allow Amtrak to run eight more trains during a peak hour, and allow NJ Transit to run 13 more trains. This huge increase in capacity would take thousands of cars off the road each day, increase revenue for Amtrak and NJ transit, and allow intercity and commuter passengers shorter and easier trips up and down the Northeast and in and out of Manhattan. In short, it would make it easier to get business done."
