VRE ditches Amtrak for French-owned train operator
By: Kytja Weir
Examiner Staff Writer
October 19, 2009
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| VRE's board voted to award a five-year contract with two optional renewals for up to 15 years total to Keolis Rail Services America, an offshoot of a French company that runs that country's railways. (Examiner file) |
Virginia Railway Express has chosen a French railway company to operate its commuter trains, giving the foreign-owned company a high-profile launching pad for its first U.S. rail operations while abandoning Amtrak, which has run and maintained the trains since VRE began.
The board of the commuter train agency voted to award a five-year contract with two optional renewals for up to 15 years total to Keolis Rail Services America, an offshoot of a French company that runs that country's railways. The contract represents cost savings, with a $18.5 million price tag for the first year, then $16.8 million in subsequent years.
"We feel pretty optimistic we've got a provider that will be doing a great job for our customers and taxpayers," VRE Board Chairman Christopher Zimmerman said.
Keolis offered the lowest bid, about $1 million lower than the others, Zimmerman said. It also came in even lower than the existing contract, which costs about $19.6 million, VRE spokesman Mark Roeber said.
But Keolis also was the clear front-runner in other areas, officials said. The contract will allow VRE to set higher standards for employees, Roeber said.
But Keolis also was the clear front-runner in other areas, officials said. The contract will allow VRE to set higher standards for employees, Roeber said.
The choice marks a break with Amtrak, after relations have frayed over several years.
This spring VRE pushed Amtrak to conduct more rigorous inspections after a series of failures over 36 hours in March delayed more than 5,000 customers.
"The status quo isn't what was working," Roeber said.
Yet VRE officials say their concerns have been with Amtrak management, not its workers, whom they would like to retain. All will be offered the option of moving over to the new train company, carrying over the same benefits and receiving a signing bonus, Roeber said.
Herbert Harris, chairman of the Brotherhood of Locomotive Engineers and Trainmen, said the change put the Amtrak employees who have been running and fixing the trains in foreign territory.
"The board exercised clearly their prerogative. I don't agree with it, but we will work with it," he said. "We're going to have to look at the award, assess the options."
But the switch may make relations with Amtrak dicey. The commuter service still has to work with the train company at Union Station.
"You just don't know," Roeber said. "Hopefully it will be smooth and not have an impact on the current level of service."
Amtrak spokesman Steve Kulm said he was "saddened and disappointed" by the recommendation.
