Amtrak costs individual States almost $100 million per year on commuter rail contracts that private companies can more efficiently fulfill, according to a new House committee report. What’s more, the report faults Amtrak for trying to thwart competitors with “frivolous” lawsuits rather than beat them in the market.
“Amtrak is a highly subsidized, Soviet-style rail system, but despite every ticket being underwritten nearly $50 by the taxpayers, Amtrak is an absolute failure in competing with the cost-effectiveness and level of service provided by the private sector,” said House Transportation Committee chairman John Mica, R-Fla., in a statement on the report.
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